Answer: $49.87
Explanation:
Based on the information given,
D1 = $4 × (100% + 21%) = $4 × 1.21 = $4.84
D2 = $4.84 × 1.21 = $5.8564
Value after year 2 will be:
= (D2 × Growth rate) / (Discount rate -Growth rate)
= ($5.8564 × 1.04) / (0.14 - 0.04)
= $6.09/0.1
= $60.9
Then, the current share price will be:
= 4.84/1.14 + 5.8564/1.14² + 60.9/1.14³
= 4.25 + 4.51 + 41.11
= $49.87
Answer: Internal reporting involves the compilation of financial and operational information on a frequent basis, which is distributed to those within an organization who can use it to improve performance. ... Internal reports are not shared with anyone outside of the firm.
Answer:
net cash flow from creditors of $1.42 million
Explanation:
The movement in the long term debt account between 2008 and 2009 is as a result of the interest owed on the debt and the cash payment for the period.
Let the cash outflow to the creditor be H
$2.25 million + 0.33 million - H = $4 million
H = $2.25 million + 0.33 million - $4 million
H = ($1.42 million)
This means that the firm had a net cash flow from creditors of $1.42 million in 2019.
Answer:
Increase output
Explanation:
A monopolist will stay in the market and increase output as long as the MR< MC. In the above scenario, marginal revenue is $6, and the marginal cost is $4 which means that monopolist is earning positive profits. In this case, a monopolist should increase the output to earn more profit. A monopolist will increase output until MR=MC.
Answer: generally charge interest from the day they are signed to the day they are collected.
Explanation:
Accounts Receivable show that a customer is owing a certain amount of money for goods that they took on credit. The customer gets to pay back a maximum of the amount of goods they actually bought because no interest is charged.
This changes with the Notes Receivable. These accrue interest from the day they are signed such that the customer will then pay the value of the notes receivable as well as the interest that it accrues on the day it is collected.
Notes Receivables are usually used by customers who are unable to pay off the accounts receivables within a certain period and so opt for a note receivable avenue instead.