Which is an example of something that is inelastic?

If d0 = $1.75, g (which is constant) = 3.6%, and p0 = $40.00, what is the stock's expected total return for the coming year?

Nookie1986 [14]

Answer:

The answer is <u>"a. 8.13%".</u>

Explanation:

Given that;

d0 = $1.75

p0 = $40.00

g = 3.6% = 0.036

By using the formula;

Price of the stock = (Dividend this year)(1+g) ÷ (r - g)

By putting the values;

40 = (1.75)(1+0.036) ÷ (r - 0.036)

r - 0.036 = (1.75)(1.036) ÷ 40

r - 0.036 = 1.813 ÷ 40

r - 0.036 = 0.045325

r = 0.045325 + 0.036

r = 0.081325 = 0.081325 x 100

7 0

3 years ago

Read 2 more answers

Zoie makes 2 products from a common input. Each product may be sold at the split-off point or processed further. The following i

Ymorist [56]

Answer:

Zoie

The minimum amount the company should accept if Product 1 is sold at the split-off point is:

= $30,000.

Explanation:

a) Data and Calculations:

Product 1 Product 2

Allocated joint processing costs 21,200 35,700

Sales value at split-off point 38,100 19,200

Costs of further processing 17,000 19,900

Sales value after further processing 30,000 28,300

The minimum amount the company should accept if Product 1 is sold at the split-off point is $30,000.

b) Further processing of Product 1 does not make economic sense. Zoie should sell the product at split-off point at $38,100. Similarly, based on the facts provided, Product 2 hardly deserves further processing.

5 0

3 years ago

What can cause the market demand curve for day-old bread -- an inferior good -- to shift rightward (an increase in demand)

Sedbober [7]

A factor that can cause the market demand curve for day-old bread to shift rightward is a decrease in income.

<h3>What is an inferior good?</h3>

An inferior good is a good whose demand falls when income rises and increases when income falls. An inferior good is a good whose demand increases when income falls.

<h3>What is an increase in demand?</h3>

An increase in demand occurs when the demand for a good increase as a result of factors other than a change in the price of a good. When there is an increase in demand, there would be a shift to the right of the demand curve.

For more information about the increase in demand, please check: brainly.com/question/25871620

5 0

2 years ago

easures of average workweeks and of supplier deliveries (vendor performance) are included in the index of leading indicators, be

OverLord2011 [107]

Answer:weaker; stronger

Explanation:index of leading indicators is an index published monthly by The Conference Board. It is used to predict the direction of global economic movements in future months. The index is composed of 10 economic components whose changes tend to precede changes in the overall economy. Businesses and investors can use the index to help plan their activities around the expected performance of the economy and protect themselves from economic downturns.

Leading economic indicators are statistics that precede economic events. They predict the next phase of the business cycle. That becomes critical when the economy is either coming out of a recession or heading into one.

5 0

3 years ago

At the beginning of the month, the Forming Department of Martin Manufacturing had 10,000 units in inventory, 30% complete as to

kari74 [83]

Answer:

Equivalent units for material = 7,000 + 52,000 - 6,400 = 52,600

Equivalent units for conversion = 9,000 + 52,000 - 4,800 = 56,200

Explanation:

As per FIFO that is First In First Out

therefore if 62,000 units are transferred first opening stock will be transferred, that is 10,000 units fully completed and then transferred.

Then remaining will be from introduced 60,000 units, out of which 52,000, units that is 62,000 - 10,000 will be used.

Which means only 8,000 out of 60,000 units are left which is 80% complete in respect to materials and 60% complete with respect to conversion

Opening was 30% complete to materials that is 70% completed in this period

Equivalent = 10,000 $\times$ 70% = 7,000

In respect of conversion 10% complete and 90% in this period = 10,000 $\times$ 90% = 9,000

Also 52,000 fully completed 100% in both respects.

For finished goods

In respect of material = 8,000 $\times$ 80% = 6,400

In respect to conversion = 8,000 $\times$ 60% = 4,800

Equivalent units for material = 7,000 + 52,000 - 6,400 = 52,600

Equivalent units for conversion = 9,000 + 52,000 - 4,800 = 56,200

7 0

3 years ago