Answer:
Profit margin = 9.74%
Explanation:
We know,
Profit Margin = (Net income after tax/Net sales) x 100
Profit margin is a profitability ratio that measures the company's overall performance. It also show how company performs financially.
Given,
Year 2,
Net Sales = $484,000
Net income after tax = $47,150
Therefore,
Profit Margin =
Profit Margin = 9.74%
Hence, company is performing financially well.
Just think here itll come to you eventually
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Answer:
Positive.
Explanation:
A linear function has a positive relationship and as such an increase in one variable (input variable) causes an increase in the other variable (output variable) i.e the variables are directly proportional. Thus, the graph of a linear function is a straight-line and its slope is always constant.
On the other hand, nonlinear function has a negative relationship and as such an increase in one variable (input variable) causes a decrease in the other variable (output variable) i.e the variables are inversely proportional.
This ultimately implies that, the graph of a nonlinear function is a curved line and whose direction is constantly changing
In this scenario, the relationship between numbers of adjectives and newspaper sales must be positive because the higher the amount of adjectives put in the titles of her articles, the greater the number of newspapers that would be sold on a particular day.
Answer:
$291.56
Explanation:
Find the dividend amount per year;
D1 = D0(1+g ) = 3.40(1+0) = 3.40
D2 = 3.40*(1.05) =3.57
D3 = 3.57*(1.05) =3.7485
D4= 3.7485*(1.15) = 4.3108
D5 = 4.3108 *(1.10) = 4.7419
Find the Present value of each year's dividend;
PV (of D1) = 3.40/ (1.14 ) = 2.9825
PV (of D2) = 3.57/ (1.14² ) = 2.7470
PV (of D3) = 3.7485/ (1.14³ ) = 2.5301
PV (of D4) = 4.3108/ (1.14^4 ) = 2.5523
PV (of D5 onwards)
PV (of D5 onwards) = 280.7519
Next, sum up the PVs to find the maximum price of this stock;
= 2.9825 + 2.7470 + 2.5301 + 2.5523 + 280.7519
= 291.564
Therefore, an investor should pay $291.56
Answer:
8.46%
Explanation:
Calculation for the the taxable equivalent yield for this investment
Using this formula
Taxable equivalent yield
=Tax-exempt yield / (1 − Your tax rate)
Let plug in the formula
Taxable equivalent yield=0.055 / (1 - 0.35)
Taxable equivalent yield=0.055/0.65
Taxable equivalent yield=0.0846*100
Taxable equivalent yield= 8.46%
Therefore the taxable equivalent yield for this investment is 8.46%