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Roman55 [17]
3 years ago
15

will pay an annual dividend of $2.25 per share next year. The company just announced that future dividends will be increasing by

0.75 percent annually. How much are you willing to pay for one share of this stock if you require a rate of return of 12.25 percent?
Business
1 answer:
snow_tiger [21]3 years ago
5 0

Answer:

= $19.57

Explanation:

Price of the stock (P0) = Div1 / (r-g)

Div1 = next year's dividend = $2.25

r = required return = 12.25% or 0.1225 as a decimal

g = growth rate = 0.75% or 0.0075 as a decimal

Next, plug in the numbers to the formula;

Price (P0) = 2.25/ (0.1225 -0.0075)

Price (P0) = 2.25 / 0.115

= $19.57

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Answer:

A. Micro-economics

Explanation:

Micro-Economics represents a study of economic activiites or economic choices that affect individual businesses or organisations, individual consumers or individual families. Since the focus of Williams & Co is on determining appropriate prices for products sold in its individual firm, then the focus is micro-economics

Macro Economics represents the study of economic activities and choices but instead of the individual level, it studies these acivities at the overall national level or at the global level. So the study of pricing among the various detergent producing firms in the United States is under the purview of macro economics

Monetary policy focuses on the tools that are used to regulate the entire economy especially the Federal Reserve through the regulation of the activities of member financial institutions.

Fiscal Policy focuses on the activities of government to control its expenditure, tax rates and overall monitor or regulate the economy  

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3 years ago
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kipiarov [429]

Personal qualifications, occupational requirement, responsibilities, financial remuneration (pay) , working conditions.

Days off and vacation flexibility are 2 examples of things that fall under the working conditions category.

8 0
3 years ago
Is it possible for a country with a regressive tax system to have a tax-spending system that transfers resources from the rich t
lara31 [8.8K]

Answer:A

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A regressive tax is a tax impose in such a manner that the tax rate decreases as the amount subject to taxation increases.

5 0
3 years ago
Carlton files a petition in bankruptcy. One of the goals of bankruptcy law with respect to a debtor is to:____.
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Answer:

<em>Carlton files a petition in bankruptcy. One of the goals of bankruptcy law with respect to a debtor is </em><em>to </em><em>provide a fresh start, free from creditors' claims </em>

8 0
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julsineya [31]

Answer:

used to identify major stockholders

Explanation:

Environmental scanning is a management strategy that focuses on systematically acquiring informations about occasions, trends, events or patterns through surveys and analysis of these information  in an organisation's external and internal environment. The informations acquired through environmental scanning is then used by the executive management in strategically planning the organisation's future and exploitation of available opportunities for the success of the organization.

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