Answer:
The selling price today = $28.536
Explanation:
The question states that D0 is $1.5.
To calculate price, we need to calculate Present value of future dividends along with a terminal value from the time the dividend growth is becoming constant.
The D1 growth will be 20% of D2.
The fall in dividend growth will be 5% till it reaches 5%.
- P0 = D1 / (1+r) + D2 / (1+r)² + D3 / (1+r)³ + D4 / r-g
- Where,
- r = required rate of return
- g = growth rate
Thus,
P0 = 1.5*(1.2) / (1+0.15) + 1.5*(1.2)*(1.15) / (1+0.15)² + 1.5*(1.2)*(1.15)*(1.1) / (1+0.15)³ + 1.5*(1.2)*(1.15)*(1.1)*(1.05) / (0.15 - 0.05)
P0 = $28.536
Answer:
Current yield is 6.17%
<em>YTD is 5.43%</em>
<em>YTC is 4.26%</em>
Explanation:
Tenor: 15 years
-> number of payment (NPer) is 30 (= 15 years * 2 for semiannual)
Coupon rate: 7.4%
- > semiannual payments (PMT): $37 = ($1000*7.4%/2)
Future value (FV): $1000
Present value (PV): $1200
Current yield = annual coupon/ current price = $37*2/$1200 = 6.17%
<u>Extra: </u>
We use excel to calculate yield to date (YTD) or nominal yield:
= Rate(Nper, PMT, - PV,FV) = Rate(30,37,-1200,1000) = 2.717% semiannual
-> annual rate is 5.43%
The bond issue is callable in 5 years at a call price of $1,074, then FV is $1074
Yield to call = rate(10,37,-1200,1074) = 2.13% semiannual
-> annual rate is 4.26%
Answer:
$4,412
Explanation:
If the company estimates that $4,412 of accounts receivables will be uncollectible, then it must record that number under the Allowance for Bad debts Account.
That account started the year with a $3,284 balance, it decreased by $1,826 (debt written off), and then must be adjusted by crediting $2,954 so its balance = $4,412 on December 31.
Answer:
cultural identity
Explanation:
According to my research on studies conducted by various sociologists, I can say that based on the information provided within the question he would need to be aware of the cultural identity of the workforce. In other words he would need to be accepted by the people in that workforce as well as James accepting them.
I hope this answered your question. If you have any more questions feel free to ask away at Brainly.
Answer:
d. refers to how a firm does something unique to create added value.
Explanation:
The competitive advantage is the advantage that is gained by the company over its competitors. It can be gained through various things like - reasonable product, best quality, and quantity, great services through which the customers of competitors could be the shift to the company.
The motive of this is to create some value added to the company products by considering the innovative ideas to attract the customers and maximize customer satisfaction that results to accomplish the company goals and objectives.
