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aleksandr82 [10.1K]
2 years ago
9

Mobray Corp. is experiencing rapid growth. Dividends are expected to grow at 26 percent per year during the next three years, 16

percent over the following year, and then 7 percent per year indefinitely. The required return on this stock is 12 percent, and the stock currently sells for $70 per share. What is the projected dividend for the coming year? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Business
1 answer:
SVEN [57.7K]2 years ago
5 0

Answer:

D1 = 2.39

Explanation:

Expected Dividend can be found out by solving the following equation attached in the image.

In the formula D1 = expected dividend, Gs = 26%, Gm = 16%, gL = 7%, r =12%

Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in 2 sheets with the formulas indications.  

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If you have a low credit score, lenders are more likely to give you what type of interest rate? A. A low interest rate B. A high
alisha [4.7K]

Answer:

B) A high interest rate.

Explanation:

A low credit score means a bad credit score. Meaning you are not that reliable in paying your credit back. If you were reliable, they would make it easy for you and give you a low interest rate. However, your credit score says otherwise so they will give you a high interest rate since you are a higher risk.

8 0
3 years ago
Based on your understanding of bond ratings and bond-rating criteria, which of the following statements is true?a. During an eco
kenny6666 [7]

Answer:

Statements "A" is true.

Explanation:

During a financial recession and a cynical domain, the yield spread between government securities and corporate securities could be higher than during great monetary occasions. This is because the grounds that during a recession, corporate securities would convey more hazard, (for example, higher default chance) than during great monetary occasions. To make up for this extra hazard, financial specialists would request more returns.

5 0
3 years ago
Economists use real gdp per capita to measure economic growth: even though nominal gnp per capita is a far superior measure of e
denis23 [38]
1. Economists use real GDP as a measure of living standards as it eliminates the effects of inflation by using the price index of the base period over the current period, which is also called the GDP deflator.

2. Real GDP per capital. Reason explained above.

3. 5million dollars divided by 100, therefore it would be 5000.

4. False. With the advancement of technology, capital becomes more productive and efficient, meaning they produce more output using the same amount of input.
7 0
3 years ago
Typically, the franchisee determines the territory to be served by the franchise. Group of answer choices True False
borishaifa [10]

The False statement about  Franchisee is " Franchisee is a method of distributing products or services involving a franchisor "

To find the False statement , we need to know more about Franchisee .

<h3>What is Franchisee?</h3>

A franchise (or franchising) is a method of distributing products or services involving a franchisor, who establishes the brand’s trademark or trade name and a business system, and a franchisee, who pays a royalty and often an initial fee for the right to do business under the franchisor's name and system.

Franchisee in Territorial Rights:

Whether or not the franchisee is granted a form of territorial protection wherein, for example, the franchisor will not grant competing franchises. Typically franchisees will be granted an operating territory within which they are required and restricted to conduct the operations of their franchise business.

The franchise agreement will define where the franchisee may operate the franchised business, who the franchisee may or may not sell products or service to and any protection that may be afforded to franchisee regarding his or her territory.

Thus, we can conclude that the above statement is Typically, the franchisee determines the territory to be served by the franchise is False.

Learn more about Franchisee on:

brainly.com/question/16826168

#SPJ4

3 0
1 year ago
On March 1, 2018, E Corp. issued $1,400,000 of 8% nonconvertible bonds at 103, due on February 28, 2028. Each $1,000 bond was is
Anvisha [2.4K]

Answer: $126,000

Explanation: Shareholders equity can be defined as the total amount of investment done by the shareholders in the company. This investment can be done through various kinds of securities like common stock, preference shares.

As per this problem shareholder equity would be

= (no. of shares to be collected by warrant holders)*(price of each warrant)

and,

no. of shares to be collected = (1400 bonds) * (30 shares)

                                                  = 42,000 shares

.

therefore, equity :-

(42,000 shares) ( $3 ) = $126,000

6 0
3 years ago
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