Answer: $8.81
Explanation:
To solve this, add the present values of the dividends from years 3, 4 and 5 and then add the present value of the terminal value of the stock at year 5.
Year 3 dividend = $0.50
Year 4 dividend = 0.50 * (1 + 49%) = $0.745
Year 5 dividend = 0.745 * 1.49 = $1.11005
= Dividend in year 3 / (1 + required rate of return)³ + Dividend in year 4 / (1 + required rate of return)⁴ + Dividend in year 5 / (1 + required rate of return)⁵ + (Dividend in year 5 * (1 + growth rate) / ( required rate of return - growth rate ) ) / (1 + required rate of return)⁵
= 0.5 / 1.16³ + 0.745/1.16⁴ + 1.11005/1.16⁵ + ( 1.11005 / (16% - 9%)) / 1.16⁵
= $8.81
Metro by T-Mobile is a prepaid wireless carrier brand owned by T-Mobile US. It previously operated the fifth largest mobile telecommunications network in the United States using code division multiple access.
Answer:
3. Most top managers at family firms tend to stay in their positions much longer than those at nonfamily firms.
Explanation:
A key success factors in family firms is understanding the culture. This is usually the foundation of the business.
So when family members occupy a position, they tend to stay on much longer because they have intimate knowledge of the business and the goals and objectives are personal to them.
Also loyalty tends to play a part, family members have close relationships which are long-term.
Answer:
B. $1,760
Explanation:
Given that:
Liabilities = $400, shares = 40 shares, par value = $1 per share, undervalued building asset = $60, net building amount = $1260
amount of consolidated buildings (net) at date of acquisition = net amount for buildings + amount of undervalued building asset + $400 + ($1.00 x 40 shares)
amount of consolidated buildings (net) at date of acquisition = $1260 + $60 + $400 + $40 = $1760
