Answer:
The stock market tends to value diversified companies at less than their break-up value.
Explanation:
Conglomerate discount is only applicable to large, highly diversified business entities and it basically arises as a result of business analysts having difficulty finding an appropriate way to value group of businesses with complex financial statements.
Simply stated, the expression "conglomerate discount" means that the stock market tends to value diversified companies at less than their break-up value.
Hence, when a vast array of businesses aren't performing optimally as the overall conglomerate or there are issues with respect to its core values and financial statements, business analyst may have to apply the conglomerate discount concept.
In order to calculate the conglomerate discount, business experts add up various estimations of the intrinsic values associated with the respective subsidiary firms in a conglomerate and lastly, the market capitalization of the conglomerate is subtracted from that sum. Intrinsic value refers to a measure of the underlying value of a firm and its cash inflow.
Also, it's worthy of note that the sum of the various estimations is typically greater than the conglomerate stock values.
Answer:
amount after 40 year will be $314094.2
Explanation:
We have given principal amount P = $10000
Annual interest r = 9 %
Time period n = 40 years
We have to find the amount after 40 years
Amount is given by
So the amount will be
So amount after 40 year will be $314094.2
Answer: Ultimo co. operates three production departments as profit centers. the following information is available for its most recent year. department 1's contribution to overhead as a percent of sales is 20%
Explanation:
Answer: A sales quota refers to a time-bound sales target set by management for a particular region, sales team, or individual rep.
Explanation: Sales quotas are often attached to a daily, monthly, or quarterly period. Sales quotas can be measured in a number of different ways, including by profits, sales, or rep activity
Answer: 47.7%
Explanation:
Given Data:
Tax rate = 50% for $50,000
25% for $50,001 - 75,000
Clumsy chihuahua taxable income = $55,000
Therefore:
Clumsy chihuahuas taxable income puts him in the 25% tax rate
His first $50,000 incoming would be taxed using 50%
= 0.5 * $50,000
= $25,000
And the remaining $5,000 would be taxed using 25%
= 0.25 * $5000
= $1,250
Tax = $25,000 + $1,250
= $26,250
$26,250 / $55,000 * 100
= 0.477 * 100
= 47.7%
Though he falls on the 25% taxable income rate he would pay 47.7% from his income as tax: