Answer:
Dividend
First year = $2.544
Second year = $3.053
Third year = $3.48
Fourth year = $3.97
Fifth year = $4.53
Sixth year =$5.16
Explanation:
As dividend is the share of earning distributed to the stockholders. The stockholders expects a good return from the company against their interst in the company. Company make a dividend policy and calculates the growth of dividend accordingly.
Dividend Paid = $2.12
Company expected 20% growth in next two years so,
Dividend First year = $2.12 x 120% = $2.544
Dividend Second year = $2.544 x 120% = $3.053
Dividend of following three years will grow at 14%
Dividend Third year = $3.053 x 114% = $3.48
Dividend Fourth year = $3.48 x 114% = $3.97
Dividend Fifth year = $3.97 x 114% = $4.53
After this it will grow 8% indefinitely
Dividend Sixth year = $4.53 x 114% = $5.16
Answer:
The correct answer is A) The middle-of-the-road style
.
Explanation:
This leadership is characterized by the balanced behavior of managers where a balance is maintained between the operational and organizational function along with the motivation of the entire work group. In this type of leadership, the manager is very clear about his role in terms of work to achieve adequate behavior, but at the same time he considers that the group environment is important to achieve the proposed objectives and for this reason he also cares about the state of encouragement of employees.
The answer is $76.54 Let us use 3 months as our period. Thus, we restate the annual required rate of9.25% as a quarterly (or three-month) rate of = 2.3125% (or 0.023125). Applying the constant dividend model with infinite horizon and with the quarterly rate of return and a quarterly dividend of $1.77, we get: = $76.54<span>.
Price of Preferred Stock = Dividend / required return of rate - growth rate</span>
A nurse because while the economy is doing bad the nurse will always have patient
Answer:
Nominal Interest rate
Explanation:
According to liquidity preference theory, money supply and money demand are balanced by adjustments of Nominal Interest rate. Suppose you have some money, you will decide to either keep it in cash or in the bank. If you keep the money in cash, the opportunity cost of keeping in cash is the interest rate earned if you would have kept the money in the bank. Bank offers the nominal interest rates and not the real interest rates. Bank rates are not adjusted for inflation. So if the interest rate on money increases the opportunity cost of holding money in cash increases. If money supply in the economy increases the demand for money will increase only by reducing the interest rate because then only people fir hold cash and demand higher money. So, money supply and money demand are balanced by adjustments of the Nominal Interest rate.