Answer:
Stock price = $74.26
Explanation:
<em>The value of a share can be determined using the price earning ratio model. According to this model, the price of a share is estimated as the EPS of the company multiplied by a representative (benchmark) price- earning (P/E) ratio</em> .
The ratio relates the price of a stock to its earning. A stock with a higher P/R indicates a high potent for growth.
Price of stock =Earnings per share( EPS) × benchmark P/E ratio
The appropriate comparative price earnings ratio in the question has been given as 18.8 times.
DATA-
EPS- 3.95
PE- 18.8
Stock price = 3.95 × 18.8= $74.26
Stock price = $74.26
The net present value would be zero.
Hope this helped! :)
Walmart and Home Depot emphasize consistently low prices and eliminate most of the markdowns with strategy called everyday low pricing.
<h3>
What is everyday low price?</h3>
Everyday low price is a pricing strategy that assures customers of a cheap price all the time without forcing them to wait for discount price occasions or comparison shop. In addition to saving retail businesses the time and money required to mark down prices during sales, EDLP is also thought to increase customer loyalty. An EDLP retailer's price will typically fall between a high-low retailer's discounted price and its non-discounted price. It is typical for rival shops to divide the market into segments using various pricing heuristics. The segments are made up of two distinct groups of consumers with various buying habits for both final purchases and pre-purchase research. They are prepared to conduct research to find discounts and to stockpile goods when deals are available.
To learn more about everyday low pricing, visit:
brainly.com/question/13055094
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Answer:
There is a wide range of account titles among different types of companies
Explanation:
An account title can be regarded as a
unique name that is been assigned or associated to particular account in an accounting system. It is very crucial to use An account title when there is a need for identification of accounts by
accounting staff , this is because the title usually conveys the purpose of that particular account. Some of the account titles that can be used are;
Cash on Hand, Petty Cash Fund, and
Cash in Bank,. In account titles;
✓All companies use exactly the same account titles.
✓There is a small range in account titles regardless of type of company.
✓All companies use different account titles.
