Answer:
$48.34%
Explanation:
Data provided in the question
Growth rate = 5%
Required return = 12%
Dividend = $8.65
Based on the above information,
The computation of the current price is shown below:-
Current Price = Dividend × (1 + Growth Rate) ÷ (Required Return - Growth Rate)
= $8.65 × (1 + (-5%)) ÷ (12% - (-5%))
= $48.34%
Therefore for computing the current price we simply applied the above formula.
Answer:
The company’s cash flows from operating activities was a cash inflow of $5,000
Explanation:
Cash at the end of the year = Cash at the beginning of the year + Net cash inflows from investing activities + Net cash inflows from financing activities + Net cash inflows from operating activities
Therefore,
Net cash inflows from operating activities = Cash at the beginning of the year + Net cash inflows from investing activities + Net cash inflows from financing activities - Cash at the end of the year = $340,000 + $40,000 + $45,000 - $420,000 = $5,000 >0
The company’s cash flows from operating activities was a cash inflow of $5,000
Answer:
Purchases= 17,200 pounds
Explanation:
Giving the following information:
Production in units:
Month 1= 16,000 units
Month 2= 22,000 units
One pound of materials is required for each finished unit.
The inventory of materials at the end of each month should equal 20% of the following month's production needs.
Beginning inventory= 3,200 lbs.
To calculate the direct material required, we need to use the following formula:
Purchases= production + desired ending inventory - beginning inventory
Purchases= 16,000 + 22,000*0.2 - 3,200
Purchases= 17,200 pounds
Answer:
An increase in the change in supply shifts the supply curve to the right, while a decrease in the change in supply shifts the supply curve left....
Answer:
Decrease
Explanation:
Fiscal policy is an important policy tool which is used by the government to account for revenue and expenses. During a boom stage, when the economy is improving the government implements more taxes. Similarly, in a recession period, where economic growth is negative an expansionary discretionary fiscal policy is applied. In this type of fiscal policy, taxes and government expenses both are concentrated to remove the pressure.
