Answer:
P0 = $27
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 = D0 * (1+g) / (r - g)
Where,
- D0 * (1+g) is dividend expected for the next period
- r is the required rate of return
P0 = 2 * (1+0.08) / (0.16 - 0.08)
P0 = $27
Answer:
$1,300
Explanation:
The IRS allows employers a maximum credit equal to 25% on qualified childcare expenditures and 10% on qualified childcare referral expenses:
$5,000 x 25% = $1,250
$500 x 10% = $50
Al's current credit = $1,250 + $50 = $1,300
Answer:
The number of units must be sold to yield a target operating income of $26,000: 5,600 units
Explanation:
Contribution margin per unit = Sales price – Variable cost per unit = $32-$27=$5
The number of units must be sold to meet the target income figure are calculated by using following formula:
The number of units must be sold = (Total fixed cost + Targeted income) / Contribution margin per unit = ($2,000 + $26,000)/$5 = 5,600 units
U.S. citizens pay $5 billion more annually because both countries have imposed tariffs on imported goods to protect their domestic markets.
<h3>What is tariff?</h3>
A tariff simply means a tax imposed by a government of a country on imports or exports of goods.
In this case, U.S. citizens pay $3 billion more annually for shoes and Japanese citizens pay $6 billion more for rice than the actual cost of the products because both countries have imposed tariffs on imported goods to protect their domestic markets.
Learn more about tariffs on:
brainly.com/question/1076049