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Artist 52 [7]
3 years ago
12

The next dividend payment by Skippy, Inc., will be $2.12 per share. The dividends are anticipated to maintain a growth rate of 8

percent, forever. The stock currently sells for $43 per share. What is the required return
Business
1 answer:
Taya2010 [7]3 years ago
4 0

Answer:

The answer is 12.9 percent

Explanation:

This question will be solved using the Dividend Discount Model. It is one of the valuation methods used in valuing price of Equity/stock.

Po = D1/r - g

Po is the current worth of stocks

D1 is the next dividend paid

r is the rate of return

g is the growth rate

$43 = $2.12/ r - 0.08

43r - 3.44 = 2.12

43r = 5.56

r = 5.56/43

=0.129

Expressed as a percentage:

12.9 percent

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Lucky Louie qualified for a $250,000 mortgage for his new home. The loan application was $400, closing attorney fee $500, apprai
Vesna [10]

Answer:

Louie's total cost is $ 7,625.

Explanation:

Closing costs are fees associated with your home purchase that are paid at the closing of a real estate transaction. Closing is the point in time when the title of the property is transferred from the seller to the buyer. In the above question all cost mentioned in question meet defination of closing cost.\

For more info please refer to below given calculation.

Loan application = $ 400

Attorney fee = $ 500

Appraisal fee = $ 400

Title insurance = $ 1200

Doc Fee  = $ 75

Credit fee = $ 50

Fee and interest = (250000*0.02)= $ 5000

Adding all above we get $ 7,625.

7 0
3 years ago
Hypothesize why nearly an equal number of consumers use mobile and online banking to pay bills.
enot [183]

Today, bills are paid by Consumers through use of mobile and online banking because its facilitate easy transaction.

Let understand that Internet Banking allows consumers to conduct online transactions through their gadget which uses an internet connection.

Mobile banking allows consumers to make transaction with or without internet.

Prior to this modern civilization, consumers will have to visit outlet which offers the service of making payment for various transaction such as Electricity bill, Mobile bills etc.

Today, the gadget allows easy transaction of those transaction.

Therefore, in conclusion, the reason why consumers mostly use the mobile and online banking to pay bills is because its facilitate quick and easy transaction.

Read more about this here

<em>brainly.com/question/25080140</em>

8 0
3 years ago
Last winter, a guest at a nearby motel fell through the ice and was not rescued in time. The motel’s name was included in news c
kaheart [24]
They should sell the info and make that cash cash money
3 0
4 years ago
Read 2 more answers
g A price ceiling that is set below the equilibrium price _____ . Group of answer choices causes suppliers to lose money creates
Allushta [10]

Answer:

creates a shortage

Explanation:

Price ceiling is when the government or an agency of the government sets the maximum price for a product. It is binding when it is set below equilibrium price.

Because price is set below equilibrium price, demand would outstrip supply and this would lead to a shortage

Effects of a price ceiling

1. It leads to shortages

2. it leads to the development of black markets

3. it prevents producers from raising price beyond a certain price

4. It lowers the price consumers pay for a product. This increases consumer surplus

6 0
3 years ago
81) When a seller advertises an item at a low price but once in store pushes a similar item at a higher price, the seller is par
storchak [24]

Answer:

E) bait and switch

Explanation:

BAIT AND SWITCH can be defined as a way in which a seller use advert of a low price to deceive and attract customers to their shop in which the products or item advert by seller is not available in order to sell similar or separate product to the customer at a higher price instead of selling the same product with a low price advertised by the seller.

Example a seller may advert a quality Italian shoe with a low price of $50 in order to deceive a buyer or customers to their place of business by then selling a similar product of shoe that looks like the one advertise by them to the customer at a higher price of $300.

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