Answer:
True
Explanation:
- For different types of projects, many different projects life cycle models are used, such as data management , advancement, research and technology.
- In general, a life cycle for a program includes a number of stages controlled by a set of decisions that verify that the scheme is mature sufficiently leave one phase and join the other.
Therefore following statement is TRUE.
The cost of the preferred stock including flotation is 13.37%.
Explanation:
The computation of the cost of the preferred stock is shown below:
= Annual dividend ÷ Price × (1 - flotation cost)
= $11 ÷ 87.50 × (1 - 0.06)
= $11 ÷ $82.25
= 13.37%
Hence, the cost of the preferred stock is 13.37%.
Learn more about flotation here :
brainly.com/question/13501786
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Answer: "punishment" .
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Answer:
Stock return = 18.15%
Explanation:
As given:
Risk free rate = 3%
Market return = 11%
SMB = 4%
HML = 5.5%
Alpha = 0
Beta = 1.2
CiCi = -0.4
DiDi = 1.3
Computation:
Stock return can be calculated as follow:
Stock return = Risk free rate + Beta * (Market return - Risk free rate) + CiCi * SMB + DiDi * HML + Alpha
Stock return = 3% + 1.2 * (11% - 3%) + (-0.4) * 4% + 1.3 * 5.5% + 0
Stock return = 3% + 9.6% - 1.6% + 7.15% + 0
Stock return = 18.15%
Hence, Predicted stock return is 18.15%.
