Answer:
$86.20
Explanation:
Total return from stock = Current price * expected return
Total return from stock = 80*14%
Total return from stock = $11.20
Dividend already realized = $5
Capital gain = $11.20 - $5
Capital gain = $6.20
End of one year price = Beginning price + capital gain
End of one year price = $80 + $6.20
End of one year price = $86.20
Therefore, at the end of one year price is $86.20
Answer:
I will save $26,390
Explanation:
A fix Payment for a specified period of time is called annuity. The Compounding of these payment on a specified rate is known as Future value of annuity. In this question $1,175 per year payment for 15 years at 5.53% interest rate is also an annuity.
We can calculate the amount of saving by calculating the future value of the given annuity.
Formula for Future value of annuity is as follow
Future value of annuity = FV = P x ( [ 1 + r ]^n - 1 ) / r
Where
P = Annual payment = $1,175
r = rate of return = 5.53%
n = number of years = 15 years
Placing Value in the formula
Future value of annuity = FV = 1,175 x ( [ 1 + 5.53% ]^15 - 1 ) / 5.53%
Future value of annuity = FV = 1,175 x ( [ 1 + 0.0553 ]^15 - 1 ) / 0.0553
Future value of annuity = FV = $26,390
Answer: so you are giving someone instructions like how to make a sandwich with a lot of detail so someone could do everything you did :)
Explanation:
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With sales of 9,000 units, contribution margin per unit of $32 and fixed costs total of $120,000, Lance's profit is $168,000.
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What is contribution margin?</u></h3>
- A gross or per-unit basis might be used to express the contribution margin.
- It indicates the additional revenue made for each product or unit sold after the variable element of the business's costs have been subtracted.
- The selling price per unit less the variable cost per unit is the contribution margin.
- The metric, also known as dollar contribution per unit, shows how a specific product affects the company's overall earnings.
Contribution margin offers a means of demonstrating the potential for profit of a specific product being offered by a business and displays the percentage of sales that goes toward paying the business' fixed costs. Profit is the amount that remains after fixed expenses have been paid.
Number of units sold = 9,000.
Contribution margin per unit = $32.
Expenses = $32 × 9000 = $2,88,000.
Profit = $2,88,000 - $120,000 = $1,68,000.
Know more about contribution margin with the help of the given link:
brainly.com/question/14950546
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