6.64 because 8×.83 is 6.64
Which Accounts are Affected? Which Account Category is Affected? What is the Account Balance? Does the Account Increase or Decrease? Do the Debits and Credits Balance?
Answer:
1. C
2. B. 13.65%.
Explanation:
1. Some of the portion of Earnings After Tax is given out to Shareholders in the form of Dividends and some of it is retained for growth Purposes. As the Retained Earnings are used for expansion and growth, that's why the formula for Growth is (ROE)*(Retention Ratio). When companies pay out large amount of dividends, it is left with minimal amount for retention which affects its growth rate and the rate tends to decrease.
If you look at the model of Constant Growth, also given in the question, the Growth Rate is deducted in Denominator. A lower growth rate will increase the denominator value and hence the stock price will go down.
2. Rearrange the formula for Constant Growth:
P0 = D1 / (Ke - g) OR Ke = (D1/P0) + g
⇒ Ke = (.85/20.5) + .095 = .1365 OR 13.65%.
Answer:
This question is incomplete, it misses the options. The options are the following:
a. team
b. standing committee
c. permanent committee
d. task force
e. none of these
And the correct answer is the option D: task force.
Explanation:
To begin with, the concept of <em>''task force'' </em>involves the situation where a group of people is formed in order to achieve a certain goal the quicker as possible and then disbanded once that goal is complete. It is a concept that was introduced by the army of the United States and later adjusted to the working areas of the business world in order to work in pairs in a particular mission or task.
Answer:
The business cease to exists unless sold or taken over by Joe's heirs.
Explanation:
Sole proprietorship is a term that describes the business enterprise which is owned or run by just one person known as the sole trader. In other words, sole proprietorship is a one man's business.
One of the major drawbacks of this kind of business is the fact that when a sole proprietor is sick or incapacitated, his/her business would suffer or cease to exist unless he/she sells it or allows family members (heirs) to take over its management or ownership.