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3 years ago

If an $80 stock pays a quarterly dividend of $1 what is the implied annual rate of return

1 answer:

3 0

An annual rate of return is the amount of loss or gain made through an investment in a yaear based on the percentage of intial investment.

In this case, since the quarterly divident is $1, in one year it would be:
$1 x 4 = $4

So, the annual rate of return would be $4 / $80 x 100% = 2%

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An example of automatic fiscal policy is Question 19 options: the unemployed automatically become eligible for unemployment bene

daser333 [38]

Answer:

Explanation:

Automatic fiscal policies are policies that adjust the economy automatically without the intervention of external agents . examples include progressive tax and transfer payments

In an expansion, progressive tax increases the tax paid and this reduces disposable income

In a contraction, tax paid is reduced and this increases disposable income

Congress passes a law during a recession that automatically extends unemployment benefits for those whose benefits will soon expire. this is an example of discretionary fiscal policy

Discretionary fiscal policies are deliberate steps taken by the government to stimulate the economy in order to cause the economy to move to full employment and price stability more quickly than it might otherwise.

4 0

3 years ago

A boardwalk game of chance costs $2 to play. You have a 10% chance of winning $1 back, a 25% chance of winning back your entire

Fiesta28 [93]

Answer:

Thus, expected value of playing = $2.8 - $2 = $0.8

Explanation:

Cost of playing = $2

Expected return

10% chance to win $1 = $1 $\times$ 10% = $0.1

25% chance to win back $2 = $2 $\times$ 25% = $0.5

50% chance to win $5 = $5 $\times$ 50% = $2.5

15% chance to lose $2 (being cost) = $2 $\times$ 15% = ($0.3)

= $0.1 + $0.5 + $2.5 - $0.3 = $2.8

Now for this we have to pay fixed cost $2

Thus, expected value of playing = $2.8 - $2 = $0.8

7 0

4 years ago

A small business owner has two employees but each employee has a separate cash register drawer. this situation can be viewed as

Tanzania [10]

When a small business owner has two employees but trusts each one to have their own cash register and handle the money of the business separately, that means that the owner supports the establishment of responsibility. One instance where this could happen is at a small deli or coffee shop.

5 0

3 years ago

Read 2 more answers

According to the growth accounting studies, if you lived in a country where illiteracy was high and 40% of the children left sch

My name is Ann [436]

Answer:

b. There would be both a human and economic loss.

Explanation:

In the case when the illiteracy was more and 40% of the children left the school so early that they didnt complete their education so here the result should be that there should be 2 losses i.e. human and economic loss as the children does not have any kind of knowledge so they would not get the job so easily

Therefore the option b is correct

8 0

3 years ago

Compute the price of a 6.3 percent coupon bond with 15 years left to maturity and a market interest rate of 7.0 percent. (Assume

IgorC [24]

Answer:

Price of the Bond = $935.63

Explanation:

N = 15 x 2 = 30

I/Y = 7.0%/2 = 3.5%

PMT = 6.3% x 1000 / 2 = 31.5

FV = 1000

Using the Ms Excel Function

Price of the Bond = PV(N, I/Y), PMT, FV)

Price of the Bond = PV(30, 3.5%, 31.5, 1000)

Price of the Bond = $935.6278411

Price of the Bond = $935.63

5 0

3 years ago