Answer:
Growth rate = 6%
Explanation:
Required rate of return = 13%
Stock price = 54.30
D1 = $3.80
P0 = D1 / Ke- g
$54.30 = $3.80 / 13% - g
13% - g(54.30) = 3.80
7.059 - 54.30g = 3.80
- 54.30g = 3.80 - 7.059
- 54.30g = -3.259
g = -3.259 / - 54.30
g = 0.0600184162062615
g = 6%
Thus, the Growth rate = 6%
Six Steps In Developing Your Brand's Marketing Message
1. Understand your brand and communication strategy
2. Understand your resources
3. Identify goals
4. Identify specific tactics
5. Execute tactics
6. Measure & refine
Answer:
Weighted average cost of capital= 5.94%
Explanation:
The cost of debt is the required rate of return payable to investors in the debt instruments of a company. These investors include providers of long term debt finance to the company.
<em>The cost of debt finance can determined by working out the yield to maturity on debt with adjustment for tax. </em>
It is noteworthy that debt finance affords the company a tax savings advantage because interest expense incurred on the use of debt of are tax deductible expense.
After-tax cost of debt = (1- Tax rate) × before-tax cost of debt
Before tax cost of debt = 9%
Tax rate = 34%
<em>Aft</em>er-tax cost of debt = (1-0.34) × 9% = 5.94%
After-tax cost of debt = 5.94%
Weighted average cost of capital= 5.94%
Answer:unearned revenue, Supplies, prepaid rent
Explanation:
Unlike federal income tax, FICA tax is a percentage of each employee's taxable wages. It consists of two types of taxes: Social Security and Medicare. ... Social Security includes the old-age, survivors, and disability insurance taxes. Medicare includes hospital insurance tax.