Answer:
Given there is uncertainty about the growth rate, the respective market values under the two growth rates is the weighted average rate of growth, which is: 50% x 6% + 50% x 10% = 8%.
Explanation:
Answer:
r = 0.103555 or 10.3555% rounded off to 10.36%
Explanation:
Using the constant growth model of dividend discount model, we can calculate the price of the stock today. The DDM values a stock based on the present value of the expected future dividends from the stock. The formula for price today under this model is,
P0 = D1 / (r - g)
Where,
- D1 is dividend expected for the next period /year
- r is the required rate of return or cost of equity
Plugging in the values for D0, P0 and g in the formula, we can calculate r to be,
53.1 = 2.95 / (r - 0.048)
53.1 * (r - 0.048) = 2.95
53.1r - 2.5488 = 2.95
53.1r = 2.95+ 2.5488
r = 5.4988 / 53.1
r = 0.103555 or 10.3555% rounded off to 10.36%
Answer:
Correct answer is (C) the Argentine government lost the ability to maintain the pegged relationship as in fact investors and traders perceived a lack of equality between the Argentine Peso and the U.S. dollar.
Explanation:
The country took this step because the Argentina monetary policy was an improper exchange rate and as such the pegged rate failed. That period is refer to as Argentina's currency crisis year as the monetary policy can no longer be sustained.
C) Design! Most definitely.
To do construction and architecture you need to know design. It will include design.
<span>If you borrow money from a bank, you are the ____________. </span>
<span>C</span>