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borishaifa [10]
3 years ago
5

Ginger, Inc., has declared a $5.40 per share dividend. Suppose capital gains are not taxed, but dividends are taxed at 20 percen

t. New IRS regulations require that taxes be withheld at the time the dividend is paid. The company's stock sells for $94.00 per share, and the stock is about to go ex dividend. What do you think the ex-dividend price will be
Business
1 answer:
lesantik [10]3 years ago
4 0

Answer: $89.68

Explanation:

The Ex-dividend measures how much a stock price drops as a result of the disbursement of dividends. It is calculated by subtracting the dividend from the current stock price.

In the above question the IRS require that taxes be withheld at the time that the dividend is paid.

This means that taxes have to be accounted for first before ex - dividend is calculated.

After tax dividend = 5.40 * ( 1 - 0.2)

After tax dividend = $4.32

Solving for Ex-dividend gives,

= 94.00 - 4.32

= $89.68

The ex-dividend price will be $89.68

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If a bank has $500 million of checkable deposits, a required reserve ratio of 15%, and it holds $126 million reserves, then the
jarptica [38.1K]

Answer: $51 million

Explanation:

Firstly, we need to calculate the required reserve which will be:

= $500 × 15%

= $500 million × 0.15

= $75 million

Then, the excess reserve will be:

= $126 million - $75 million

= $51 million

Therefore, the maximum deposit outflow it can sustain without running into reserve deficiency is $51 million.

8 0
3 years ago
Roberts Enterprises has budgeted sales in units for the next five months as follows:
Oksana_A [137]

Answer: 4,050 units

Explanation:

Units to be produced in July = Units sold + ending inventory - beginning inventory

Ending inventory = 20% of August sales = 20% * 4,690 = 938 units

Beginning inventory = 20% of July sales = 20% * 3,890 = 778 units

Units to be produced = 3,890 + 938 - 778

= 4,050 units

<em>Options are most probably for a similar question with different details. </em>

5 0
3 years ago
2. Read the following data from Maria's personal monthly bank statement and answer the questions that follow:
Nutka1998 [239]
B I hope it’s helped
3 0
3 years ago
Read 2 more answers
You deposit $12,000 today into an account that pays you 12% annual interest, compounded daily. How much do you have in 40 years
vazorg [7]

Answer:

$1,456,975.19

Explanation:

FV = P (1 + r / m)^nm

FV = Future value

P = Present value

R = interest rate

N = number of years

M = number of compounding per year

$12,000 ( 1 + 0.12/365)^14600 = $1,456,975.19

I hope my answer helps you

4 0
3 years ago
How might external and internal environmental factors influence the strategic plan? Highlight the basic differences between vert
alexgriva [62]

Answer:

External factors like the economy, politics, competitors, customers, and even the weather and internal factors such as staff, company culture, processes, and finances can influence an organization's Strategic Plan.

Explanation:

  • The vertical and horizontal external business environment is composed of economic, political and legal, demographic, social, competitive, global, and technological factors while the organization's culture, product development, mission and strategy are all part of the internal institutional, resource-dependent, and contingent environments.
  • Vertical and horizontal external environments are generally beyond the control of management and change constantly compared to internal institutional, resource-dependent, and contingent environments that managers have a great deal of control over.

A health leader operating in these environments can leverage on continuous study on how to adapt to the external business environment to ensure success

5 0
3 years ago
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