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klasskru [66]
3 years ago
10

Tyson Inc. is currently trading at $18 per share. The company is expected to pay a dividend of $1.63/per share next year. The di

vidend is expected to growth 2.5% per year into perpetuity, and the cost of equity is currently 10.5%. Using Gordon growth what is the present value of Tyson Inc, and given you answer should you buy or sell the stock
Business
1 answer:
viktelen [127]3 years ago
5 0

Answer:

$20.38  buy

Explanation:

The computation of present value is shown below:-

Fair Value according to Gordon Model = Expected Div ÷ (Required Return - Growth rate)

= $1.63 ÷ (10.5% - 2.5%)

= $1.63 ÷ 8%

= $20.38

Fair Price = $ 20.38 and Actual Price = $18.00

As Fair Price is greater than the Actual Price so, the stock is under priced. Therefore advice to buy.

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<span>This means that the two states involved will lead to concurrent jurisdiction between the federal and state courts. This could lead to Jack looking for the court that will give him the most favorable ruling against the business for selling a defective product.</span>
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3 years ago
Oscar's Red Carpet Store maintains a checking account with Academy Bank. Oscar's sells carpet each day but makes bank deposits o
musickatia [10]

Answer:

Some part of this question is missing (refer to attachment for missing part of question)

A bank Reconciliation statement is required to agree the Cash Ledger of the Business. Differences are highlighted and subjected to test to understand and justify their existence. It is with a Bank reconciliation statement we can be sure the transactions posted in our Cash Book and Bank records are accurate.

An adjusted Cash Book may need to be drawn up to capture activities in the Bank that was not known to the Treasury Analyst.

Having done this, both the Bank reconciliation should agree with the adjusted Cash Book.

Explanation:

<u></u>

<u>Red Carpet Store</u>

<u>Bank reconciliation Statement</u>

<u>For the Month ending February 28, 2018</u>

<u></u>

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Deduct Undebited Cheques

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Balance as per adjusted Cash Book $12,825

<u>Adjusted Cash Book</u>

<u>As at February 28 2018</u>

Opening Balance $8,100

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Deduct Under-recording of Chq 323 -$300

Deduct Feb rent automatic withdrawal -$1,100

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5 0
3 years ago
The sales department of a mutual fund firm sets goals for the next fiscal year to sell a certain number of mutual funds each mon
dezoksy [38]

Answer: Objective

Explanation:    

According to the given question, the company is only sets the main target on the basis of given requirement but does not provide any other details.

So, this organizational goals is known as the objective goals as it sets the main effective objective without providing any other details.

The main purpose of the objective goals is to developing the main policies related to sales and progress in an organization by setting the main aim of the company. Therefore, Objective is the correct answer.

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The purpose of the cash flow statement is to:
scZoUnD [109]
Simplify the following expression: 4x + 5y – 2x – 3y + 2z *c
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2 years ago
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BartSMP [9]

Answer:

The summary and as per the query is defined in the following portion of the clarification.

Explanation:

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The benefits of this are the people that follow:

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