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oee [108]
3 years ago
5

Firm X just paid​ $5/share dividend. We expect the dividend to grow annually at a constant rate​ 3%. The current stock price is​

$100. If firm X issues new​ equity, the new shares would sell at​ $98/share and the firm also needs to pay investment banks​ $3/share flotation cost. What is the cost of retained​ earnings? g

Business
1 answer:
mariarad [96]3 years ago
4 0

Answer:

Cost of Earnings = (Dividends per share for next year ÷ Current market value of the stock) + Dividend growth rate

= 8.42 %

Explanation:

See Attachment

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Assume common stock is the only class of stock outstanding in the Manley Corporation. Total stockholders' equity divided by the
pshichka [43]

Answer:

c. book value per share.

Explanation:

The Total stockholders' equity is reflected on the balance sheet along with the total assets and the total liabilities

The formula to compute the book value per share is

= Total stockholders' equity ÷  number of common stock shares outstanding

By dividing the total  stockholders' equity by the number of common stock shares outstanding we get the book value per share

5 0
3 years ago
Most companies allocate facility-level activity costs directly to products for decision-making purposes.True or false?
Finger [1]

Answer:

False

Explanation:

Facility-level costs are being the type of activity based cost activities and it simply sustains a facility’s general manufacturing process. We can say some samples about this type of costs:

1) The costs about depreciation or rent of a factory building  

2) The costs about salary of a plant manager

3) The costs about insurance, taxes, etc.  

4) The costs about training

As you see all about this cost mentioned only in manufacturing processes not in decision making.

4 0
3 years ago
Online Gourmet is an online business that provides customers with recipes and all the ingredients needed to prepare a meal. This
Alja [10]

Answer:The answer is Deep customer knowledge

Explanation:

Deep customer knowledge is a kind of research done by a business in order to know the need of their customers and how the business can help in meeting such need.it is a process of engaging with their customers with a view to know their need so as to ensure that the overall objectives of the business is accomplished. Deep customer knowledge enables a business to build a strong relationships with their customers. The use of deep customer knowledge includes the use of customers service officer to explain to their customers the use of their products or services in order to ensure that they are able to satisfy their customers and improve the sales of the business.

4 0
3 years ago
To help with hiring decisions during peak seasons and holidays, Cards for All Seasons uses time-series forecasts, like sales fro
nexus9112 [7]

Answer:

B) A Trend Decision

Explanation:

Trend decision is also known as Trend forecasting. It is a complicated and useful way in which data of past sales is used to determine future trends. It is generally used by marketing experts to determine future sales growth. It can be used in different areas of a business.

An example of the use of trend forecasting is the fashion industry. Since customers change their purchasing behavior rapidly, so a particular garment becomes popular for one season and then it goes out of fashion. Fashion forecasters use trend forecasting to predict the trends by including the work designers and the early adoption of a trend among the people

5 0
3 years ago
If you could have an all-expenses paid trip to see any famous world monument, which monument would you choose?
netineya [11]

Answer:

leaning tower of pisa

Explanation:

6 0
3 years ago
Read 2 more answers
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