Answer:
The stock is worth $17.50 per share today
Explanation:
The price per share today can be calculated using the DDM where expected dividends are discounted back to present value to calculate the share price. When the dividend growth becomes zero, we will calculate the terminal value at the end of Year 3 and discount it back too. The formula for price of the stock today is,
P0 = D1 / (1+r) + D2 / (1+r)^2 + D3 / (1+r)^3 + [ (D4 / r) / (1+r)^3]
P0 = 1.45 / (1+0.09) + 1.5 / (1+0.09)^2 + 1.53 / (1+0.09)^3 +
[ (1.6 / 0.09) / (1+0.09)^3]
P0 = $17.50
Answer:
A: This warrants an antitrust investigation.
B: This is just an example of undesirable, but not illegal, tacit collusion.
C: This warrants an antitrust investigation.
D: This is not a collusion.
E: This warrants an antitrust investigation.
Answer:
e. $8,360.
Explanation:
The started and completed units cost $42,250
Completed and transferred out $ 50,610
The cost of completing the units in the beginning Work in Process inventory
= Completed and transferred out $ 50,610 minus The started and completed units cost $42,250 =
=$ 50,610-$42,250 = $8,360.
The completed units would not require any work in process and the started units only require work in process which is equal to $8,360.
Answer:
Production= 200,000
Explanation:
Giving the following information:
Beginning Inventory Ending Inventory
Finished goods (units) 24,000 34,000
The company plans to sell 190,000 units during the year.
<u>To calculate the production required, we need to use the following formula:</u>
Production= sales + desired ending inventory - beginning inventory
Production= 190,000 + 34,000 - 24,000
Production= 200,000