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
aleksandrvk [35]
4 years ago
8

Assume Merck (MRK) just announced that its next dividend will be $2, paid one year from now (you just missed the prior annual di

vidend). You expect the dividend will grow (after the $2 dividend) by 3% per year forever. Your required return is 10%. What are you willing to pay for a share of Merck stock
Business
1 answer:
Ludmilka [50]4 years ago
8 0

Answer:

$28.57

Explanation:

Current price = D1/(Required return-Growth rate)

D1 (Next dividend) = $2

Required return = 10% = 0.1

Growth rate = 3% = 0.03

Current price = $2/(0.1-0.03)

Current price = $2 / 0.07

Current price = $28.57143

Current price = $28.57

Hence, i will be willing to pay $28.57 for a share of Merck stock.

You might be interested in
State<br>five<br>features distinguishing Features of servicing​
Alona [7]

Answer:

The answer is below:

Explanation:

Services are a byproduct of a business firm which is done in exchange for money. However, unlike the products or goods, it has its distinct features or characteristics.

Hence, there are various Features of services, some of which includes the following:

1. Intangibility: they are not tangible or cannot be touched

2. Perishability: they cannot perish like goods

3. Inseparability: services under the ae work or elements cannot be separated like goods

4. Heterogeneity: the quality of services is diverse, hence, the price and time of delivery vary.

5. Ownership: unlike the goods, when it comes to services the person rendering services is the one that tends to move around.

5 0
3 years ago
Hillward Bakers Inc. has been using a logo with the letters"HB-in blue color and a baker's hat above these letters since its inc
notsponge [240]

Answer:

B) Hillward can sue Hobert since the logo has been used by Hillward and is associated with it.

Explanation:

Since Hillwards logo is an elaborate piece of creative art, then they can sue Hobert for using their logo since it was associated directly to them during the past decade. Common logos are not usually protected by copyright unless they show significant creative artwork done.

It is always better and easier to protect a logo when it is a registered trademark but even if you haven't registered it you can still sue and win for infringement. When a company uses a logo, especially for a long time, it is establishing common law trademark rights.

4 0
4 years ago
What is a collection of computer applications that are bundled together called
Readme [11.4K]

Answer:

Multiple applications bundled together as a package are sometimes referred to as an application suite.

5 0
3 years ago
when resources are purchased from outsiders through long term contracts instead of being made in house, this process is referred
pogonyaev

Answer:

Outsourcing

Explanation:

Outsourcing is a term often used in business relationships that describes a practice in which companies ensures that best candidates are employed for a particular work often contract job, without getting involved in the process of sourcing and appointing internally. It can be used for various operations such as audition works, procurement, planning strategy, etc.

Hence, in this case, the correct answer is OUTSOURCING

4 0
3 years ago
Ali is working with a company that makes custom-designed shoes for its customers. The customers have accepted the product concep
ad-work [718]

Answer:

The functional role being used by the government to help Ali's company is;

Redistribution of income and resources

Explanation:

The government using the three arms, namely; legislature, judiciary and executive perform various functions to ensure that it's citizens live and operate in a certain way. There are different activities that need government input o ensure efficiency. Some examples are; social activities, economic activities and political activities. Some of the major functions of government are as follows;

1. Defend and preserve the country's territorial integrity: the government has a duty to defend it's borders against external aggression.

2. Preserve order: order has to be preserved in a country to minimize chaos. The government using the constitution as a tool for preserving and maintaining order.

3. Redistribution of income and resources: the government can enforce certain policies that tend to redistribute income and resources from the wealthy to economically marginalized groups in the society. This can be done by imposing higher taxes on the rich while at the same time imposing little or no tax on the poor. The government can also provide subsidies to goods and services meant for the poor or even support small businesses by providing for cheaper loans with very low interest. An example is Ali's company that utilized a low-cost loan to boost his business. In this way the government is playing the role of redistribution of income and resources.

8 0
4 years ago
Other questions:
  • Which strategy for merging two distinct cultures is most appropriate when the two merging companies are in unrelated industries
    5·1 answer
  • White Company budgeted for $200,000 of fixed overhead cost and volume of 40,000 units. During the year, the company produced and
    7·1 answer
  • One of the ways Mark and Sue can prevent having a balance due next year is to use the Tax Withholding Estimator at IRS.gov and t
    9·2 answers
  • Of the items in the following lists, which go from most liquid to least liquid?
    9·1 answer
  • Ace Inc. has 10,000 shares of 5%, $100 par value, cumulative preferred stock and 50,000 shares of $1 par value common stock outs
    6·1 answer
  • Imagine you want to become a chef and restaurant owner. What education and
    14·2 answers
  • Identify the accoun title.
    7·1 answer
  • Suppose you are a T-shirt producer in a market without price controls. You are charging a price that is below the equilibrium pr
    6·1 answer
  • The first step in creating a service blueprint is to identify the activities that are necessary to complete the project and thei
    10·2 answers
  • How much total estimated warranty expense does arctica report for the current year?
    8·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!