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In-s [12.5K]
3 years ago
14

Bauer Software's current balance sheet shows total common equity of $5,125,000. The company has 490,000 shares of stock outstand

ing, and they sell at a price of $27.50 per share. By how much do the firm's market and book values per share differ?
Business
1 answer:
Alja [10]3 years ago
3 0

Answer:

$17.04

Explanation:

Book value per share of equity = $5,125,000 / 490,000 = $10.46

Market price per share =  $27.50

$27.50 - $10.46 = $17.04

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Assume that Dr. Early is an independent contractor for Pharzime, and Dr. Early sells the hospital 1,000 Gensol tablets. Pharzime
siniylev [52]

Answer:

indemnification

Explanation:

Indemnification is a concept that shifts risk from one party to another.

In indemnification, thehe corporation may advance to or reimburse directors for the expenses and liabilities they incur as a result of their corporate decision making.

This only applies to directors and officers, not shareholders.

5 0
3 years ago
Read 2 more answers
Wyatt is paying back a loan with a nominal interest rate of 13. 62%. If the interest is compounded quarterly, how much greater i
lbvjy [14]

Wyatt's<u> effective interest rate</u> would be greater than his <u>nominal interest rate </u>by 0. 71 percentage points.

The <em>nominal interest rate</em> is 13. 62% or 0.1362 that would be given an <em>effective rate of interest </em>as follows:

R=(1+\frac{i}{m})^{m}  -1\\=(1+\frac{0.1362}{4})^{4}  -1\\=0.1433

Here, the value of the effective rate of interest<u>,</u> that is 0.1433 that would be multiplied with 100 to get the <u>percentage value</u> of 14.33%

Hence, the <u>difference between effective and nominal interest rates</u> would be:

14.33-13.62\\=0.71

Learn more about the effective and nominal rates of interest here:

brainly.com/question/2787260

6 0
3 years ago
You have decided that you would like to own some shares of GH Corp. but need an expected 12% rate of return to compensate for th
oee [108]

Answer:

Share price = 29.16

Explanation:

Given:

Dividend paid = $3.50

Required rate  of return = 12% = 12/100 = 0.12

Growth rate  = 0%

Find:

Share price  = ?

Computation:

⇒ Share price  = Dividend paid / [Required rate  of return - Growth rate ]

⇒ Share price = $3.5/(0.12-0)

⇒ Share price = 29.16

3 0
3 years ago
Monica is going to college full-time to become a nurse, so she has to quit her job at the supermarket. Not having that weekly pa
Nikolay [14]

Answer:

Opportunity cost

Explanation:

Opportunity cost is the sacrificed benefits in decision making. Making a decision involves selecting one option from several choices. The forfeited advantage from the next best alternative is the opportunity cost.

Monica has chosen to join college. She has sacrificed her job at the supermarket to make time for college. Her forfeited weekly pay from her job is the opportunity cost for joining college.

4 0
3 years ago
Natural Essences, a company that manufactures hair products, offers "dollar-off coupons" to adult women to get them to try its s
enot [183]

Answer:

The correct answer is Sales promotion.

Explanation:

Sales promotion is a promotional mix tool that consists of promoting a product or service through incentives or activities such as offers, discounts, coupons, gifts, raffles, contests, prizes and free samples.

These incentives or activities are known as sales promotions, and are usually intended to promote the sale of the product or service, by encouraging, inducing or motivating the consumer to decide on their purchase or acquisition.

The use of sales promotions is an effective strategy commonly used when launching a new product to the market, when you want to gain market share from the competition, or simply when you want to have a rapid increase in sales; but that has a disadvantage a cost that it is necessary to evaluate well before using.

7 0
4 years ago
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