1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
crimeas [40]
3 years ago
6

Craftwell Inc. pays a​ $0.75 dividend every quarter and will maintain this policy forever. What price should you pay for one sha

re of common stock if you want an annual return of​ 10.5% on your​ investment?
Business
1 answer:
Advocard [28]3 years ago
3 0

Answer:

Quarterly dividend (D) = $0.75

Annual return (Ke) = 10.5% = 0.105

Quarterly return = 0.105/4 = 0.02625

Current market price = <u>Quarterly dividend</u>

                                       Quarterly return

                                   =<u> $0.75</u>

                                       0.02625

                                  = $28.57

Explanation:

Current market price is the ratio of quarterly dividend paid divided by quarterly return.

You might be interested in
An effective minimum wagea. imposes a price ceiling on the wages of various categories of low-skill workers.b. increases the dem
Strike441 [17]

Answer:

d. increases the earnings of some low-skill workers while reducing the employment and training opportunities available to others.

Explanation:

Minimum wage is a form of price floor. It is the lowest amount that should be paid to labour for their services rendered. It is usually set by the government or an agency of government.

Minimum wage causes supply of Labour to exceed demand for Labour. Firms would demand less of Labour because of higher cost of Labour. Decreased demand for Labour would increase unemployment.

Minimum wage isn't a price ceiling but a price floor.

Minimum wage increases the income of Labour.

5 0
3 years ago
Last year, Linus earned a salary of $25,000 and he spent $24,000, thus saving $1000. At the end of the year, he received a bonus
Evgen [1.6K]

Answer:

0.5

Explanation:

Marginal propensity to consume is the proportion of the increase in disposable income spent on consumption.

Marginal propensity to consume = change in consumption/ increase in disposable income

$500 / $1000 = 0.5

I hope my answer helps you

8 0
3 years ago
Expatriates who are citizens of neither an employer's parent country nor the foreign nation where they are residing and working
True [87]

An expatriate who is a citizen of his employer's home country and lives and works in another country is called a _____. citizens of the homeland.

Workers preparing for international assignments need information about practical issues such as housing, schooling and shopping in their future country of residence. What cross-cultural preparation is most valuable before leaving for an international assignment? Language lessons.

The most important remuneration items for expatriates are basic salary, cost of living adjustment, housing allowance, home leave, education allowance for dependents and insurance payment.

Host Country is any country other than the home country in which an organization operates facilities. An expatriate is an employee from a country other than the home country or host country.

Learn more about Expatriates at

brainly.com/question/17257768

#SPJ4

7 0
1 year ago
Good name for an online pet store?
Vesna [10]
Home of pets !!!
Hope it works!!!
3 0
2 years ago
Read 2 more answers
How are sure foot's shoes seen by most of its target market??
wlad13 [49]
By its target market, Foot's shoes seen as : Heterogeneous shopping products.
The company's product has a unique product that differentiate the product with others.
This will make the product very hard to substitute
6 0
3 years ago
Other questions:
  • According to the preprinted language what type of deed is to be used at closing to convey the title to the real property that is
    11·1 answer
  • The process through which an organization gets information on how closely an employee's actual performance meets his or her perf
    8·1 answer
  • Fundamental analysis determines that the price of a firm's stock is too low, given its intrinsic value. The information used in
    9·1 answer
  • Jackie is doing a marginal analysis to decide if she should spend any more money on a movie download. After figuring out her mar
    11·2 answers
  • g On January 2, Yorkshire Company acquired 34% of the outstanding stock of Fain Company for $400,000. For the year ended Decembe
    7·1 answer
  • Bethany Walsh is a business manager at Dixon Productions. Although she does not have a background in technology, her job require
    11·2 answers
  • Write about why it is important for world leaders to make just decisions for their people and to treat neighboring countries wit
    10·1 answer
  • Patents are on the books of a British subsidiary of a U.S. firm at a value of 50,000 pounds. The patents were acquired in 2017 w
    10·1 answer
  • Assets for Smith Company are $30,000. Liabilities are $20,000. What is the Equity for Smith Company?
    7·1 answer
  • When an accounts payable ledger is used, the Accounts Payable account in the general ledger becomes a(n) __________ account.
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!