Answer:
the share should sell at $46
Explanation:
We use the CAPM method to know the required return of the capital
risk free 0.04
market rate 0.1
beta(non diversifiable risk) 2
Ke 0.16000 = 16%
Now we calculate with the dividends grow model the intrinsic value of the share:
$4.6/0.1 = $46
Answer:
B...................................
Answer: 1.356345
Explanation:
Based on the scenario and information provided in the question, the 90-day forward rate will be calculated as:
= Spot Rate × (1 + Germany Interest Rate) / (1 + United States Interest Rate)
= 1.35 × (1 + 6.5%) / (1 + 6%)
= 1.35 × (1 + 0.065) / (1 + 0.06)
= 1.35 × 1.065/1.06
= 1.35 × 1.0047
= 1.356345
An entrepreneur is a person who starts a business and is willing to risk loss in order to make money” or “one who organizes, manages, and assumes the risks of a business or enterprise.”
Answer:
The correct answer is A. increase tax rates and/or reduce government spending.
Explanation:
Increasing the tax burden is an easy way for the state to increase its income temporarily and subject matter, but it turns out that increasing the tax burden affects productivity and consumption, so in the end the income of the productive sector is diminished, and more taxes on a lower taxable base does not imply increasing revenues.
When a government decides to reduce public spending for a fiscal balance, it is limited to reducing the social assistance and social security, but not to reduce the bureaucratic apparatus that curiously is usually high in countries with economic crisis, and also Be a source of corruption corruption.
