The increase in stock risk has lowered its value by 16.09%.
<h3>What does market price mean?</h3>
- The price at which a good or service can currently be bought or sold is known as the market price.
- The forces of supply and demand determine the market price of a good or service; the price at which the quantity supplied and demanded are equal is the market price.
<h3>What is current price and market price?</h3>
- Market value is another name for the current price. It is the last traded price for a share of stock or any other security.
According to the question:
- If the security's correlation coefficient with the market portfolio doubles (with all other variables such as variances unchanged), then beta, and therefore the risk premium, will also double. The current risk premium is: 13% - 5% = 8%
The new risk premium would be 16%, and the new discount rate for the security would be: 16% + 5% = 21%
If the stock pays a constant perpetual dividend, then we know from the original data that the dividend (D) must satisfy the equation for the present value of a perpetuity:
Price = Dividend/Discount rate.
26 = D/0.13.
D =26 x 0.13.
D = $3.38.
At the new discount rate of 21%, the stock would be worth:
$3.38/0.21.
= $16.09.
The increase in stock risk has lowered its value by 16.09%.
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For the first question, the answer is the judicial branch of
the government since it is the one who ordain and establishes. The Judicial
branch construes the laws. The judiciary also offers a tool for the resolution
of arguments.
For the second question, the answer is the executive branch
of the government. The executive is the structure exercising authority in and
holding accountability for the power of a state. The executive implements and imposes
law.
Answer:
$291,630
Explanation:
The computation of the net cash provided by financing activities is shown below:
Cash flow from financing activities
Less: Existing debt repaid -$313,400
Add: Raised additional debt capital $649,200
Less: Repurchased stock in the open market - $44,170
Net cash provided by financing activities $291,630
We added the additional debt capital and the rest items are deducted
Answer:
good stuff
Explanation:
people these days (including me sometimes) put more energy into bad things and negative things .and its partly social media's fault.
Answer:
C). I, II, and IV only
Explanation:
The Association of Southeast Asian Nations (ASEAN), the European Union (EU), and the North American Free Trade Agreement (NAFTA) are bodies that promote trade and economic cooperation among member countries. They are treaties that aim are accelerating economic and social integration by eliminating or minimizing restrictions on the movement of people and commodities across borders.
Opec is an association of oil-producing countries. Its objective is to have similar oil policies in member countries. Opec is a cartel-like group that aims at controlling international oil prices.