For ......................Income tax
Answer:
10.92%
Explanation:
The formula and the computation of the estimated cost of equity capital is shown below:
Stock price = Next year dividend ÷ (cost of equity - expected dividend growth rate)
We assume the cost of equity be X
$34 = $3.10 ÷ (cost of equity - 1.8%)
$34 X - $34 × 1.8X = $3.10
After solving this,
The cost of equity would be 10.92%
It’s B :) because it ensures what fits best to the company about employees idk if that make sense.
Answer:
the amount to be used in the numerator is $900,000.
Explanation:
Earnings Per Share = Earnings Attributable to Holders of Common Shares ÷ Weighted Average Number of Common Shares Outstanding.
Diluted Earnings per Share takes into account potential voting rights.
The Preference dividend is <em>not</em> deducted from Net Income as it carries a potential voting right.
Answer:
Growth rate is 6%
Explanation:
Po = 
P = 0.3 / (0.1 - 0.06)
P = $75
Dividend growth model is used to calculate the stock price based on the dividend growth.