Answer:
$1.28
Explanation:
The computation of the earning per share is shown below:
As we know that
Earning per share = Net income ÷ Number of shares outstanding
where,
Net income is
Earning before interest and taxes $24,600
Less: Interest
($60,000 × 6%) - $3,600
Income before tax $21,000
Less: tax for 40% - $8,400
Earning after tax $12,600
Less: Preference dividend
(1,500 shares × $5) -$7,500
Income available $5,100
So the earning per share is
= $5,100 ÷ $4,000
= $1.28
They can import and then industrialize.
Answer:
An overdraft is an extension of credit from a lending institution that is granted when an account reaches zero. ... Basically, an overdraft means that the bank allows customers to borrow a set amount of money. There is interest on the loan, and there is typically a fee per overdraft
hope it will help you...
Answer:
during the mid-1970s, money supply growth rates were nearly constant and still the economy went through a recession
Explanation:
In the case when the economist favored that activist monetary policy determines that at the time of 1970s the growth rate related to the money supply would be the same or the constant and still keeping the same the economy would be in the recession
So as per the given situation, the first option is correct
Answer:
$24.44
Explanation:
The computation of the price sell for in four years is shown below:
But before that first determine the following calculations
Growth Rate is
= ROE × Plowback ratio
= 24% × 0.15
= 3.6%
Now
Dividend per share is
= EPS × (1 - Plowback Ratio)
= $2 × (1 - 0.15)
= $1.57
And, finally
Price of share is = Expected Dividend Next Year ÷ (Required Return - Growth Rate)
It can be rearrange like
Price in 4 years = Dividend Year 5 ÷ (Required Return – Growth Rate)
= 1.57 × (1.036)^4 ÷ (11% - 3.6%)
= $24.44
