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Over [174]
3 years ago
8

currently, a firm has an EPS of $2.08 and a benchmark PE of 12.7. Earning are expected to grow by 3.8 percent annually. What is

the estimated current stock price?
Business
1 answer:
Verizon [17]3 years ago
6 0

Answer:

$26.42

Explanation:

According to the given situation, the computation of the estimated current stock price is shown below:-

Estimated current stock price = Earning per share × PE ratio

= $2.08 × 12.7

= $26.42

Therefore for computing the estimated current stock price we simply applied the above formula and ignore all other value as they are not relevant.

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Alexandria's Dance Studio is currently an all-equity firm with earnings before interest and taxes of $338,000 and a cost of equi
andreyandreev [35.5K]

Answer:

$1,306,986

Explanation:

Calculation to determine What is the levered value of the equity

First step is to calculate the VL

VL = {[$338,000 × (1 - .34)] / .142} + (.34 × $400,000)

VL= $1,706,986

Now let calculate the levered value of the equity (VE)

VE = $1,706,986 - $400,000

VE = $1,306,986

Therefore the levered value of the equity is $1,306,986

8 0
3 years ago
R(0,t) is the Spot Zero-Coupon (or Discount) Rate. It is the annualized rate on a pure Unit Discount bond B(0,t) - the bond that
nikitadnepr [17]

Answer:

0.368

Explanation:

Price of B(0,13) = 1 / (1 + interest rate)^years

Price of B(0,13) = 1 / (1 + 8%)^13

Price of B(0,13) = 1 / (1+0.08)^13

Price of B(0,13) = 1 / (1.08)^13

Price of B(0,13) = 1 / 2.7196237

Price of B(0,13) = 0.3676979247

Price of B(0,13) = 0.368

8 0
2 years ago
Cardiac Science is a California-based company that makes defibrillators,heart monitors,and other medical equipment.It is prepari
Elden [556K]

The correct answer is A)  The name of the product, when translated into Greek, has an unintentional meaning.

Explanation:

In business, communication problems can emerge due to a difference in language that prevents the business from communicating appropriately its purpose, name, slogan, and from advertising its products. This mainly occurs if the translation does not reflect the original meaning or there are cultural features that create a barrier.

This situation occurs in "The name of the product when translated into Greek, has an unintentional meaning" because due to the lack of experience of the manager in Greece and the differences in language, she does not know how to communicate in Greek the name of the company, which creates a communicative barrier as Greek customers will not understanding the real meaning of the company.

5 0
3 years ago
A shift from labor to equipment is:
leva [86]

Answer:

In summary, labor supply is the total hours that workers or employees are willing to work at a given wage rate. Changes in income, population, work-leisure preference, prices of related goods and services, and expectations about the future can all cause the labor supply to shift to the right or left.

6 0
2 years ago
A company reported total equity of $161,000 at the beginning of the year. The company reported $226,000 in revenues and $173,000
Bond [772]

Answer:

$314,000

Explanation:

The computation of total assets is shown below:-

Total equity = $161,000

Revenue = $226,000

Expenses = $173,000

Liabilities at the end of the year = $100,000

Income of the year = $226,000 - $173,000

= $53,000

Total assets of the company at the end of the year = (Total Stock Holders Equity) + Total Liabilities

=(Total equity at the beginning of the year + Income for the year ) + Liabilities at the end of the year

= $161,000 + $53,000 + $100,000

= $314,000

3 0
3 years ago
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