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nordsb [41]
3 years ago
15

Big Tree Lumber has earnings per share of $1.36. The firm's earnings have been increasing at an average rate of 2.9 percent annu

ally and are expected to continue doing so. The firm has 21,500 shares of stock outstanding at a price per share of $23.40. What is the firm's PEG ratio
Business
1 answer:
GalinKa [24]3 years ago
3 0

Answer:

The firm's PEG ratio is equal to 5.93

Explanation:

A valuation metric for determining the relative trade-off between the price of a stock, the earnings generated per share (EPS), and the company's expected growth are referred to as the 'PEG ratio' (price/earnings to growth ratio).

Generally, a company with a higher growth rate would have a higher P/E ratio.

PE ratio = Stock price/EPS

             = 23.4/1.36

 PE ratio = 17.205

PEG ratio = PE ratio/ Earning growth ratio

                 = 17.205/2.9

PEG ratio    = 5.93

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Serena just finished making a buyer presentation to Mark and Debbie Calhoun. Now that they understand the difference between bei
Yanka [14]

Answer:

Notifying Serena of any material changes

Explanation:

With Serena now serving as their (Mark and debbie Calhoun) agents, it is paramount that Serena (the agent) be notified about any material changes made by the buyers. The buying agents (in this case Serena) is an individual or organization that is responsible for purchasing goods or property on behalf of another person. They are usually license professionals who search and undergo the purchasing procedure of products that their clients is interested in owning.

8 0
3 years ago
Each day you have $5 for lunch. Today, you decided to save $2
prisoha [69]

Each day you have $5 for lunch. Today, you decided to save $2  and buy the chicken salad tomorrow for $6.50-<u>In this case the money is being used </u>

<u>to save and store the purchasing power</u>

Explanation:

The term money can be defined as a thing that serves as

  • A medium of exchange which is usually financial in nature.
  • It is used by the borrower to repay back to the lender-used to repay the debt.
  • It is used as an unit of accounting to measure your income and expenditure.
  • It is used to store the value of money -in other words used to save  the  purchasing power of an individual

Thus we can say that ,

Each day you have $5 for lunch. Today, you decided to save $2  and buy the chicken salad tomorrow for $6.50-<u>In this case the money is being used </u>

<u>to save and store the purchasing power</u>

8 0
2 years ago
Lena invested her savings in two investment funds. The $6000 that she invested in Fund A returned a 6% profit. The amount that s
Nostrana [21]

Answer:

The amount that Lena will invest in fund B would be $4000.

Explanation:

Given information -

Amount invested in fund A - $6000

Return earned on fund A - 6%

Let us assume amount invested in fund B be x

Return earned on fund B - 1%

Return on both funds together - 4%

Let us assume the total amount of fund invested be ($6000 + x)

Now using simple equation , we will take out the value of x which is the amount invested in fund B -

$6000 X 6% + x X 1% = 4% ( $6000 + x )

= $360 + .01 x = $240 + .04 x

= $360 - $240 = .04 x - .01 x

$120 = .03 x

x = $120 / .03

= $4000.

4 0
3 years ago
What are the primary advantages to owning a franchise?
Volgvan

Answer:

Explanation:

Owning a franchise has the following main advantages:

1) A franchise owner gets valuable help throughout the lifespan of the business. Upon acquiring a franchise, the business owner receives a continuous training and assistance necessary for marketing and management.

2) Owning a franchise comes with a low rate of failure. A franchise comes with an established business concept that is already successful in the market which assures the owner of better chances of success compared to starting up an independent business.

6 0
2 years ago
Read 2 more answers
The preferred debt-to-income ratio is usually: A. 28 percent B. 36 percent C. 40 percent D. 50 percent
krek1111 [17]

the preferred debt to income ratio is usually B 36%

4 0
2 years ago
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