Answer:
Required rate of return = 12.2%
Explanation:
According to the dividend growth model the price of a stock is
D*(1+G)/R-G
D= dividend
G=growth
R= Required rate of return
In order to find the required rate of return we will put the values given to us in the question into the formula.
D=5
G=2%
Price = $50
50=5*(1+0.02)/R-0.02
50R-1=5.1
50R=5.1+1
50R=6.1
R=6.1/50
R=0.122=12.2%
Answer: 5,000 units
Explanation:
Break-even points in units is calculated by;
= Fixed Costs / Contribution Margin per unit
Contribution Margin
= Sales - Variable Costs
= $40 - ( 40 * 40%)
= 40 - 16
= $24 per unit
Breakeven point
= 120,000/24
= 5,000 units
Answer:
Geographic segmentation
Explanation:
Geographic segmentation can be defined as the way in which the customers you serve in a particular area has different preferences or desire based on where they are located and Its also involves the grouping of potential customers by either country, state, city or neighborhood.
Geographic segmentation is a marketing reason been that GEOGRAPHIC SEGMENTATION target products to people who live or shop in a specific location and also help to group these customers based on where they live.
For example a Shoe manufacturing company who decide to target their customers who live in warm climates where shoes don't need to be equipped for the snowy weather in which the marketing platform might decide to focus their marketing efforts around either the urban area or the city centers where their target customer is likely to work.
Therefore based on the information given This is important consumer information to a McDonald's franchisee and reflects how GEOGRAPHIC SEGMENTATION shapes consumer behavior.
Answer:
2.68 years
Explanation:
The discounted payback period measures how long it takes for the amount invested in a project to be recovered from the discounted cumulative cash flows.
Explanations on how the payback period is calculated can be found in the attached image.
I hope my answer helps you
Answer:
(a) What are her accounting profits for the year?
Accounting profits =79000
(b) What are her economic profits for the year?
Economic profits=16300
Explanation:
Accounting profits =total revenues (200000) -total explicit costs of all inputs =25000+40000+(2x22000)+12000)
Accounting profits =200000-121000
Accounting profits =79000
Economic profits =total revenues-total opportunity cost of all inputs used - (explicit + implicit costs).
$200000-(121000+60000+(45000*6%)=
Economic profits=16300
