Answer:
a. Dividend growth rate = 9%
b. $40
c. If Price is reduced then Earning per share will also decrease.
Explanation:
a. The computation of Growth rate is shown below:-
Share price = Expected dividend ÷ (Cost of equity - Dividend growth rate)
$80 = $4 ÷ (0.14 - Dividend growth rate)
11.20 - 80 × Dividend growth rate = 4
Dividend growth rate = 9%
b-1 The computation of Price is shown below:-
= Expected dividend ÷ (Cost of equity - Revised downward percentage)
= 4 ÷ (0.14 - 0.04)
= 4 ÷ 0.10
= $40
b-2 If Price is reduced then Earning per share will also decrease.
Answer and Explanation:
Gain trust: Business relationship is sealed with trust. If you are able to make a business partner trust you, you are sure to keep doing business with them. Do not try to take advantage of them and be sure they ate not thinking in that direction.
Show interest in people: keeping up with people and always showing that you actually care, and want to assist in any way you can is a sure way to seal a client for life. Be family.
Work hard: you can not build business relationships if you are not a person that delivers. It doesn't matter if you are a nice person that always cares, if you cannot bring results and be trusted to deliver you cannot have any useful business relationship. This is the most important strategy.
Networking: networking is a popular form of building business relationships. Formal occasions, conferences, informal hangout spots, the gym are all places where you can meet new people and start a business relationship.
Answer:
$4,300
Explanation:
Calculation for what amount should Nelson report for total ending inventory on its Dec. 31 balance sheet
Total ending inventory=( 200*3.50)+(400*1.50)+ (1,000*3.00)
Total ending inventory=$700+$600+$3,000
Total ending inventory=$4,300
Therefore the amount that Nelson should report for total ending inventory on its Dec. 31 balance sheet will be $4,300
The correct option is b.) profitability ratios
Ratios that provide valuable information to shareholders are profitability ratios.
<h3>What is profitability ratios?</h3>
Profitability ratios are a type of financial metric that is used to evaluate a company's ability to generate profits relative to its revenue, operational costs, balance sheet assets, as well as shareholders' equity over time, utilizing data from a single point in time.
Some key features regarding the profitability ratios are-
- Profitability ratios are comparable to efficiency ratios, which take into account how well a corporation uses its assets from within to earn revenue (as opposed to after-cost profits).
- Profitability ratios show how well a company is generating profit & value for its shareholders.
- Higher ratio outcomes are frequently more favorable, but when compared to similar company results, the company's own past results, or the industry average, these ratios provide significantly more information.
To know more about profitability ratios, here
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express agency
Explanation:
Express agency means an actual agency created by written or oral agreement between the principal and the agent. Through this agreement the principal authorizes a person to act as the principal's agent. For example, a written listing agreement between a seller of real estate and broker is an express agency