Buying a stock means your owning a veryyy small percent of a company, which is not enough to make you an owner of a company
Answer:
$293,000
Explanation:
The computation of the product cost is shown below:
= Direct material + direct labor + factory supplies + factory depreciation + indirect labor
= $126,000 + $99,000 + $9,000 + $33,000 + $26,000
= $293,000
The factory supplies + factory depreciation + indirect labor = manufacturing overhead
All other cost are not relevant for the computation part. Hence, ignored it
<span>The Constitution makes it clear that the Congress, rather than the President of the United States, has power to assign</span>
Answer:
The organizational structure refers to the way in which a company's resources are organized, that is, it is the way in which the company is divided into departments, positions and tasks, and thus operates effectively towards its objectives and market goals.
Understanding the concept of organizational structure, we realize how necessary it is to understand the internal and external variables of an organization such as its macro environment, its size, technology and strategy before designing the organizational structure, as this will be decisive in making the business well positioned and competitive in the market, as the structure must be aligned with the organization's purposes, as an ideal structure brings several advantages to the business, such as:
- improved productivity, improved internal and external communication, better time management, greater responsibility, greater job satisfaction, greater integration, greater control of resources, etc.
Answer:
- Stock is overpriced/ overvalued.
- Sell if you own it.
- Don't buy if you don't.
Explanation:
Use CAPM to find the required return on the stock:
Required return = Risk free rate + beta * ( Market return - risk free rate)
= 2.5% + 1.3 * (7% - 2.5%)
= 8.35%
Price based on Constant Dividend Growth Model (CDGM):
Price = Next dividend / (Required return - growth rate)
Next dividend = 1.40 * ( 1 + 4%)
= $1.456
Price = 1.456 / (8.35% - 4%)
= $33.47
<em>Stock is selling for $35. It is overvalued. Don't buy the stock. Sell if you have the stock. </em>
