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3 years ago

If the required rate of return used in the dividend growth model is increased, then: select one:

Business

1 answer:

iren [92.7K]3 years ago

4 0

Option C is correct.

The required rate of return and Value of a stock shares inverse relationship. That is, if the required return increases the value or the price of the stock will decrease and vice versa. Therefore, as a result of increase in the required return, the value of the stock will decrease.

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Write a claim that responds to the question: Why can transferring energy into or out of a substance change molecules' freedom of

nydimaria [60]

Answer:

hope this help u

Explanation:

Transferring energy into or out of a substance changes its temperature, which changes the molecules' freedom of movement. Claim 2: Transferring energy into or out of a substance changes the molecules' kinetic energy, which changes their freedom of movement.

8 0

3 years ago

A roofing company would like to implement a new method for giving estimates. The owner has narrowed his choice to three differen

galben [10]

The estimators are the blocks in this study

Explanation:

An estimator is a law in statistics for estimating a calculation based on observed figures for a given amount, thereby differentiating the definition, the quantity of value and its consequence. There are estimators for point and time.

To order to measure the time, energy, equipment and function necessary to produce a commodity, constructing a building or provide a service, cost estimators must gather and analyse data. They typically work on a particular company or industry.

It can either be finite-dimensional (parametric and semi-parametric) or infinite-sized (semi-parametric / non-parametric).

3 0

3 years ago

Lanni Products is a start-up computer software development firm. It currently owns computer equipment worth $30,000 and has cash

Misha Larkins [42]

Answer:

A-2 Ratio of real Assets to Total Assets = 0.3

B-2 Ratio of real Assets to Total Assets= 1

C-2 Ratio of real Assets to Total Assets= 0.2

The company has low ratio at the start , increases to full when producing and then again decreases.

Explanation:

The balance sheet after Lanni accepts the Bank Loan. The cash increases and so does the liability increases.

Lanni Products

Balance Sheet

Assets Liabilities & Shareholders' Equity

Cash $ 70,000 Bank loan $ 50,000

Computers $30,000 Shareholders' equity 50,000

Total $ 100,000 Total $ 100,000

A-2 Ratio of real Assets to Total Assets

Real Assets = $ 30,000

Total Assets = $ 100,000

Ratio = 30,000/100,000 = 0.3

B-1

Lanni Products

Balance Sheet

Assets Liabilities & Shareholders' Equity

Software $ 70,000 Bank loan $ 50,000

Computers $30,000 Shareholders' equity 50,000

Total $ 100,000 Total $ 100,000

The software costs $ 70,000. The Balance sheet is as given above and the cash will be replaced by the software.

B-2 Ratio of real Assets to Total Assets

Real Assets = $ 100,000

Total Assets = $ 100,000

Ratio = 100,000/100,000 = 1.0

C-1 The share given are calculated ( 1500 *80= $ 120,000) . And after it accepts the payment the share holder's equity increases and the assets as well.

Lanni Products

Balance Sheet

Assets Liabilities & Shareholders' Equity

Shares $ 120,000 Bank loan $ 50,000

( 1500 *80)

Computers $30,000 Shareholders' equity 100,000

Total $ 150,000 Total $ 150,000

C-2 Ratio of real Assets to Total Assets

Real Assets = $ 30,000

Total Assets = $ 150,000

Ratio = 30,000/150,000 = 0.2

6 0

3 years ago

If a firm's expected growth rate increased then its required rate of return woulda. decrease.b. fluctuate less than before.c. fl

labwork [276]

Answer:

D. possibly increase, possibly decrease, or possibly remain constant

Explanation:

If a firm's expected growth rate increased then its required rate of return would possibly increase, possibly decrease, or possibly remain constant

6 0

3 years ago

Griffins Goat Farm, Inc., has sales of $664,000, costs of $326,000, depreciation expense of $70,000, interest expense of $45,000

Gemiola [76]

Answer:

a. $6.54 per share

b. $1.73 per share

Explanation:

The computation is shown below:

1. Earning per share is

= Net income ÷ shares of common stock outstanding

where,

Net income is

= Sales - costs - depreciation expense - interest expense - tax expense

= $664,000 - $326,000 - $70,000 - $45,000 - $49,060

= $173,940

The tax expense is

= (Sales - costs - depreciation expense - interest expense) × tax rate

= ($664,000 - $326,000 - $70,000 - $45,000) × 22%

= $49,060

Now the earning per share is

= $173,940 ÷ 26,600 shares

= $6.54 per share

b. Dividend per share = (Total dividend) ÷ (number of shares)

= ($46,000) ÷ (26,600 shares)

= $1.73 per share

7 0

3 years ago