Answer:
Price of stock- $26
Explanation:
<em>Using te dividend valuation model, the price of a stock is the present value of the future cash flows expected from the stock discounted at the required rate of return.</em>
Where a stock is expected to pay dividend growing at a specific rate, the price of the stock can be dertermined as follows:
Price = D(1+g)/(ke-g)
D -dividend payable now,
Ke-required rate of return,
g - growth rate in dividend
So we can work out the price as follows:
Price = 1.25( 1+0.04)/(0.09-0.04)
= $26
Price =$26
Answer:
His risk profile.
Explanation:
When comparing various option , Sergio must understand his risk profile and choose the option according to it.
Answer:So, a capital gain is a profit that occurs when an investment is sold for a higher price than the original purchase price. Investors do not make capital ...
Explanation:
Answer:
B
Explanation:
The prospective buyer assured Pat he would increase the offer to $152,000 if the seller rejected $150,000
The answer is false.
It is not the major advantage of a mass market strategy that recognizing people's differences in shopping pattern, instead of advantage it is in the limitations of mass marketing strategy.
A market strategy in which a firm have the authority to ignore the market segment differences and with this a firm can also appeal with one strategy or offer to the whole market, is known as mass marketing strategy.