Answer:
The stock price will be the present value of this investment which is at $133.735.
Explanation:
The cash inflows which is dividend here will be discounted at 3% annuity fator by:
Present value of cash dividend = Cash flow * Annuity factor for 3 years at 3%
PV = $100 * [1-(1+3%)^3 years] /3% = $15 * 2.829 = $42.235
The present value of the future cash inflow arising from the sales of stock for $100 can be calculated by:
Present Value = Cash inflow * Discount factor
Present Value = $100 * (1+3%)^3 years = $100 * 0.915 = $91.5
Total Present Value = Present Value of Dividends + Present value of stock
Total Present Value = $42.235 + $91.5 = $133.735
Answer:
d) Neither A nor B
Explanation:
Poverty refers to a financial state wherein an individual is unable to meet the most basic needs for survival such as food clothing and shelter.
Absolute poverty refers to a state wherein the income of a household is below a certain threshold level which makes it hard to meet the basic necessities of life such as food, shelter, water and sanitation.
The concept of relative poverty makes a comparison i.e relatively to others. When one is relatively poorer than others. The person in such a scenario may be able to meet his ends but relative to other households income, shall be termed as poor.
The type of questions that Oscar need to use are:
- questions to find out how long the employees have been using the program
- Specific questions using terms that only recognizable by people who understand basic command of the programs (could be beginner's feature such as how to open and import files)
- Specific questions on how to make the programs do complicated operation (for example, to measure power point proficiency, you could ask the employees how to make a complicated animation on the text's or pictures)
Answer:
- Total Cost Base year = $815
- Last year Total cost = $1,464.35
Explanation:
In the base year, the total cost was:
= (210 * 1.30) + (55 * 3.60) + (40 * 3.90) + (2 * 94)
= 273 + 198 + 156 + 188
= $815
Last year, the total cost was:
= (210 * 1.60) + (55 * 7.65) + (40 * 6.64) + (2 * 221)
= 336 + 420.75 + 265.60 + 442
= $1,464.35
<em>Notice that the total cost increased last year from the base year. This is the effect of inflation. Things get more expensive overtime. </em>
