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Aneli [31]
3 years ago
5

The risk-free rate of return is 4%, the required rate of return on the market is 10%, and High-Flyer stock has a beta coefficien

t of 2.0. If the dividend per share expected during the coming year, D1, is $4.60 and g = 6%, at what price should a share sell? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
Business
1 answer:
Bess [88]3 years ago
3 0

Answer:

the share should sell at $46

Explanation:

We use the CAPM method to know the required return of the capital

Ke= r_f + \beta (r_m-r_f)

risk free 0.04

market rate 0.1

beta(non diversifiable risk) 2

Ke= 0.04 + 2 (0.06)

Ke 0.16000 = 16%

Now we calculate with the dividends grow model the intrinsic value of the share:

\frac{divends}{return-growth} = Intrinsic \: Value

\frac{4.60}{0.16-0.06} = Intrinsic \: Value

$4.6/0.1 = $46

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A chart that shows the connection between consumer demand and price is a
klemol [59]

Answer: d). Demand Schedule

Explanation:

Demand schedule is a tabular representation of the quantities of a good demanded by the consumer at different prices. While, a demand curve is a graphical representation of the quantities demanded by the consumer at different prices.

Since, the question is asking for the chart that shows the connection between consumer demand (no all consumer or market demand) and price, the correct option should be demand schedule.

7 0
4 years ago
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The stage in the evolution of new products in which ideas that match company objectives are analyzed as to whether the firm has
qwelly [4]

Answer:

The question is incomplete, it misses the options. The options are the following:

a) exploration.

b) Product development.

c) Test marketing.

d) Screening.

e) Business analysis

And the correct answer is the option A: Exploration.

Explanation:

To begin with, the stage of <em>"exploration"</em> in the process of developing new products by the companies is the one in where the expertises primarily focus on the devolpment of new ideas that may match with what the company is looking for and therefore that in this part it is quite common to do storm ideas or techniques like that in where the whole group focus on coming together in few options that will pleased the superiors that will later accept or not the idea and will pass the stage to the next one or will have to start thinking about new ideas.

8 0
3 years ago
For each of the following, indicate whether the idea is most closely associated with the first industrial revolution, the second
soldier1979 [14.2K]

Answer: Railways - the first industrial revolution, the Internet - the second, the technological - the oboe, the steam engine - the beginning, the telegraph - the first, the Feedback loops - second, The flying shuttle the first, The possibility of traveling from coast to coast in the US in under a wee - the first.

Explanation:

  • The Industrial Revolution brought about textural changes in people's lives, in everyday life, in the economy, in production. It went through several stages and always brought with it certain technological advances that made life easier for people. We link railways and the development of rail transport to the first industrial revolution. With steam technology, the first trains were launched and later this technology spread to the whole world. The emergence of the Internet is tied to the second half of the 20th century. It is a technology that has completely transformed the world, and without which life, today is almost impossible. When it comes to the technological revolution, it is still happening today. In this context, we bind it to both stages of the revolution. The advent of steamboats has been part of the technological revolution since the beginning of the 19th century, just like the advent of the Internet in the second half of the 20th century. The steam engine is part of the first technological revolution. Thanks to James Watts, transportation of people and goods was much faster and easier. The telegraph is part of the first technological revolution. The development of electricity has formed the basis for the electric telegraph. In 1832 Samuel Morse succeeded in developing the first stable and straightforward electrical messaging system, and in the following year received a patent for the invention.
  • The first real electric telegraph connected London and Birmingham and was built in 1838. The first operational amplifier to match its name was created by electronic tubing and built-in Bell's laboratories, United States, during 1941. This is a technology that we connect to backlinks and is part of another technological revolution. The invention of hydrogen, invented by the English physicist Henry Cavendish in 1767, solved the question of balloon filling. After many attempts by French physicist Jacques Charles, using a new invention to dissolve the rubber, he constructed a 380 m3 balloon with a bulletproof, hydrogen-filled shell that had a gas vent. The first steamboat to make a profit on sailing was built in 1807 (and patented in 1809) by the American Robert Fulton. However, the new boats were built even before the end of the 18th century.
4 0
3 years ago
What is important to understand about the label "pro forma"? Pro forma refers to GAAP-based financial statements. Pro forma requ
Nonamiya [84]

Answer:

Pro forma income or fiscal summaries are some of the time dependent on an association's own definition which isn't technically a right definition.  

Explanation:

Fundamentally proforma explanations are projections of the fiscal summaries like accounting report, Income proclamation and income articulation and so on which depend on presumptions like future costs, future income, speculation, financing and so forth. Subsequently it is right to state that proforma fiscal reports depend on element possess series of expectations.

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3 years ago
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