3000 dollars should be right I’m not sure bc I’m not familiar with this
Answer:
$74.62
Explanation:
Div₀ = $1.09
expected growth $0.19 per year
Div₁ = $1.28
Div₂ = $1.47
Div₃ = $1.66
Div₄ = $1.85
Div₅ = $2.04
then constant growth rte of 5.3%
equity cost = 7.5%
first we need to determine the stock price in year 5 using the Gordon growth model:
stock price = [dividend x (1+g)] / (Re - g) = ($2.04 x 1.053) / (7.5% - 5.3%) = $97.64
now we can discount all the future cash flows:
stock price = $1.28/1.075 + $1.47/1.075² + $1.66/1.075³ + $1.85/1.075⁴ + $2.04/1.075⁵ + $97.64/1.075⁵ = $1.19 + $1.27 + $1.34 + $1.39 + $1.42 + $68.01 = $74.62
<span>The price of the smartphone will decrease. Users need smart phones having greater memory power. Present market demands more money with increased memory power. If the price of memory chips decrease naturally the companies will increase the memory power of phones and will lead to decrease in the price of the smartphones.</span>
Answer:
The contribution margin ratio per composite unit for Youth:Adult:Recreational models is 25%:45%:30% .
Explanation:
The given sales mix ratio is 5:9:6 for Youth:Adult:Recreational cycle models.
The first step would be to calculate the combined contribution margin per unit =
$105 x 5 + $450 x 9 x $500 x 6 / 20
(HERE 20 IS THE TOTAL NUMBER OF UNITS)
= 525 + 4050 + 3000 / 20
= 7575 / 20
= 378.75
Now calculating the individual contribution unit of youth, adult and recreational from the total combined units -
Youth = 378.75 x 5 / 20
= 94.6875
Adult = 378.75 x 9 /20
= 170.4375
Recreational = 378.75 x 6 /20
= 113.625
Now calculating what percentage they form -
Youth = 94.6875 / 378.75 x 100
= 25%
Adult = 170.4375 / 378.75 x 100
= 45%
Recreational = 113.625 / 378.75 x 100
= 30%