1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Dominik [7]
3 years ago
15

Quantitative Problem 1: Hubbard Industries just paid a common dividend, D0, of $1.30. It expects to grow at a constant rate of 2

% per year. If investors require a 10% return on equity, what is the current price of Hubbard's common stock? Do not round intermediate calculations. Round your answer to the nearest cent.
Business
1 answer:
blondinia [14]3 years ago
6 0

Answer:

Current price is equal to $16.575

Explanation:

It is given common dividend D_0=1.30

Growth rate = 2% = 0.02

Required rate of return = 10% = 0.1

Dividend paid in next year

D_1=D_0(1+g)=1.30\times 1.02=1.326

Current price is given by P_0=\frac{D_1}{R_e-g}

P_0=\frac{1.326}{0.1-0.02}=16.575

Therefore current price is equal to $16.575

You might be interested in
Differentiate X3+ 3X2+X
natka813 [3]

Answer:

6k

Explanation:

Differentiate X3+ 3X2+X.The rules of differentiation say that if y= kX^n then dy/dx = knX^n-1. Therefore, X^3 would become 3X^2, 3X^2 would become 6X

6 0
4 years ago
When comparing a letter of credit and a banker's acceptance for financing international business transactions, a letter of credi
Arturiano [62]

Answer:

The answer is A.

Explanation:

A letter of credit is a promise given by an issuing bank at the request of its customer in which the bank promises to pay the beneficiary the states amount within a specified period of time. It has three elements – the beneficiary/seller, the buyer/applicant and the issuing bank.

While A banker's acceptance is a short term instrument given by a bank that obligates itself to make a payment at a later date. It is like a post-dated check.

6 0
3 years ago
From the SAS data set sashelp.shoes, create a new data set that includes the subsidiaries whose total returns accounts for at le
aleksley [76]

The following is the SAS code to generate the dataset. The lines starting with * are the command lines. Before each code, documentation is given to understand what this is actually doing.

* First create a dataset which gives the total sales for

* each of the subsidiary for every region. The output dataset

* should be unique at subsidiary*region level. The variable  

* total_sales_sub denotes the total sales for that subsidiary;

data tot_sale_per_sub;

set sashelp.shoes;

by region subsidiary;

retain total_sales_sub 0;

if first.subsidiary then total_sales_sub = 0;

total_sales_sub+sales;

if last.subsidiary then output;

keep region subsidiary total_sales_sub;

run;

* The dataset 'sales_gt_20pct' is our final dataset where we

* put only those subsidiaries for which total sales is atleast

* 20%=1/5 of the total sales of the region. The variable total_sales_sub

* denotes the total sales for that subsidiary and total_sales_reg

* denotes the total sales for that region;

proc sql;

create table sales_gt_20pct as

select region, subsidiary, total_sales_sub, sum(total_sales_sub) as total_sales_reg

from tot_sale_per_sub

group by region

having total_sales_sub >= total_sales_reg/5;

quit;

* Printing the output data;

proc print data=sales_gt_20pct; run;

* END OF CODE;

To learn more about SAS data code, click the links.

brainly.com/question/15062427

#SPJ4

5 0
2 years ago
Company ABC operates a nail salon that specializes in artificial nails. It has two primary __________, women who get their nails
sladkih [1.3K]

Answer:

Company ABC has two primary segments.

Explanation:

Market segmentation involves splitting up an organization's clients into groups  by putting people with similar characteristics in one group.

Similar characteristics could be age,sex,level of income and even level of literacy.

By segmenting markets,an organization is able to identify the customers who contribute most to its bottom line and decide on how to deal with them so as to keep them satisfied and ensured their repeat business

7 0
4 years ago
__________ consist of organization infrastructure (administration and management), human resources (employee recruiting, hiring,
olga55 [171]

Answer:

Secondary Activities

Explanation:

Secondary activities inside an organization are those who support the primary activity. The primary activity consists in the production and distribution of goods and/or services to customers, while secondary activities are meant to improve aspects of the primary activity.

For example, the goal of human resources is to create good labor conditions so that employees are happier, and therefore, more productive. And the goal of the technology department is to engage in research to produce new goods or provide new services in the future.

4 0
3 years ago
Other questions:
  • Customers around the world know Pepsi and consider it a primary "go-to" brand if they want a refreshing drink. This positioning
    8·1 answer
  • Undertaker enterprises earns $0.17 in profit on every $1 of sales and has $0.67 in assets for every $1 of sales. the firm pays o
    11·1 answer
  • One way to test an association claim is with a –. This test compares – variables, and the results of the test have two primary c
    13·1 answer
  • All the following are necessary to effect mentoring except
    6·2 answers
  • Suppose that businesses buy a total of $180 billion of the four resources (labor, land, capital, and entrepreneurial ability) fr
    6·1 answer
  • What economic benefit has the debt reschedule for developing countries?
    10·1 answer
  • Lin is making a presentation about road safety and wants to add images of road signs.
    9·1 answer
  • Miller, Inc. has 5,000 shares of 6%, $400 par value, cumulative preferred stock and 100,000 shares of $4 par value common stock
    5·1 answer
  • The envrionmental disadvanteges associated with natural gas include : ____________
    8·1 answer
  • When the members of a marketing channel operate to satisfy their own objectives and maximize their own profits, often at the exp
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!