Answer:
$31.9211
Explanation:
We discount the future two year dividends at the required rate of return
and solve for the present value of the infinite series of dividends growing at 3.6% with the dividend grow model:
PV 33.6
Then we discount this by the two years ahead of time these cashflow start and add them to get the PV of the stock which is their intrinsic market value
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Answer:
true
Explanation:
GAAP does not allow gains or losses to be reported when a corporation reissues its treasury stock.
The reason for this is because they have developed a two way investment relationship. They also have conducted a free trade agreement. China is importing goods from Australia because they need Coal and Oil and Australia provides them with their needs and wants.
Rising inflation means that the money will have lower value, and this is good news for the borrowers, if they borrow one full salary's worth in 2010, they woould be able to re-pay with with only a fraction of the salary in 2015!
