1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Yanka [14]
3 years ago
7

Dunkin' Brands just paid an annual dividend of $1.10 a share. The firm expects to increase this dividend by 8 percent per year t

he following three years and then decrease the dividend growth to 2 percent annually thereafter. Which one of the following is the correct computation of the dividend for year 7? A. (S1.10) (1.08 x 3) (1.02 4) B. (S1.10) (1.08 3) (1.02 x 3) C. (S1. 10) (1.08) (1.02) D. (SI.10) (1.08) (102) E. (S1.10) (1.08) (1.02)
Business
1 answer:
Tema [17]3 years ago
7 0

Answer:

Dividend in year 7 will be calculated as follows:

D3 = Do(1+g)n = 1.10(1+0.08)3

D7= Do(1+g)n(1+g)n = 1.10(1.08)3(1+0.02)4 = $1.4999

Explanation:

In the first instance, we need to calculate dividend in 3 year's time based on current dividend paid at 8% growth rate. Thereafter, we also need to calculate dividend from from year 4 to year 7(4 years) based on the new growth rate of 2%. The combination of these growth regimes gives the dividend in year 7.

You might be interested in
An industry is composed of 10 firms, all with equal sales. the four-firm concentration ratio in this industry is
Klio2033 [76]
The four-firm ratio is the concentration ratio between the total sales accumulated by the four largest industrial firms to the total sales of all firms present in an industry. This translates to the mathematical expression of 

           four-firm ratio = (total sales of four largest firms / total sales)

Since, we are given that all 10 firms have the same sales, we let the sales be equal to x.

    total sales of four largest firms = 4x
    total sales  = 10x

The ratio is then,
 
                   four-firm ratio = 4/10

Converting this to percentage will yield us an answer of 40%. 
8 0
3 years ago
How can you attract whole sale seller​
Kay [80]

Answer:

10 ways to increase your wholesale sales

1. Offer specials that bring retailers better-than-wholesale prices.

2.Provide outstanding customer service.

3.Make wholesale ordering, delivery, and billing as seamless as possible.

4 Streamline your operations.

5.Make order recommendations.

6.Create compelling, eye-catching campaigns.

and if you need more answer than please follow me

hope it's helpful

thank you

and follow me

6 0
3 years ago
During a pandemic, an economy goes into a recession due to a decrease in aggregate demand. Assume the government creates a progr
den301095 [7]

The spending that would occur during the third round of spending if the marginal propensity to consume (MPC) was 0.6 will be $420 billion.

  • Increase in expenditure = $700 billion.
  • Marginal propensity to consume = 0.6

The amount of spending based on the information given will be:

= 0.6 × $700 billion

= $420 billion.

Therefore, the correct option is $420 billion.

Read related link on:

brainly.com/question/17012549

7 0
2 years ago
The public debt for the economy is
Paraphin [41]
The public debt is the amount of money that a government owes to outside debtors. Public debt allows governments to raise funds to grow their economy or pay for services. Politicians prefer to raise public debt rather than raise taxes. When public debt reaches 77% of GDP or higher, the debt begins to slow growth.
4 0
3 years ago
If real gdp is $200 billion, full employment gdp is $400 billion, and the marginal propensity to consume is 0.75, then congress
madreJ [45]

If real GDP is $200 billion, full employment GDP is $400 billion, and the marginal propensity to consume is 0.75, then Congress should-----

increase government purchases by spending by $50 billion.

What is marginal propensity?

In economics, the marginal propensity to consume (MPC) is defined as the proportion of an aggregate raise in pay that a consumer spends on the consumption of goods and services, as opposed to saving it.

Full employment:

is an economic situation in which all available labor resources are being used in the most efficient way possible. Full employment embodies the highest amount of skilled and unskilled labor that can be employed within an economy at any given time.

Learn more about real GDP:

brainly.com/question/24156212

#SPJ4

3 0
1 year ago
Other questions:
  • Tax preparers who obtain written conflict of interest waivers from clients are required to retain the document for at least:____
    6·1 answer
  • The database of Aster Corp. was hacked and confidential data was leaked to its competitors. This resulted in a huge financial lo
    14·1 answer
  • Opportunity recognition is the process of identifying, ________, and developing new venture opportunities.
    11·1 answer
  • Jocelyn contributes land with a basis of $60,000 and fair market value of $90,000 and inventory with a basis of $5,000 and fair
    9·1 answer
  • Under the Uniform Securities Act, a structured security issued by an investment bank is a(n):_________
    8·1 answer
  • Rodriguez, Inc., is preparing its direct labor budget for 2020 from the following production budget based on a calendar year. Qu
    15·1 answer
  • What problems might robert encounter in comparing these companies to one another on the basis of their​ ratios? ​(select all the
    11·1 answer
  • Martin Inc. began construction on a building in 2020 and paying a construction company $600,000 in 2020. Martin also had avoidab
    11·1 answer
  • A person who ensures that people adhere to the definitions for the master data in their organizational units is called a(n) ____
    15·1 answer
  • As a group, oligopolists would always be better off if they would act collectively
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!