Answer:
8
Explanation:
Data provided in the question:
The market capitalization rate on the stock = 14%
Expected ROE = 15%
Expected EPS = $56
Firm's plowback ratio = 60%
Based on the above information
The computation of the P/E ratio is shown below
But before that, we need to do the following calculations
As we know that
Payout ratio = (1 - plowback ratio )
= (1 - 0.6 )
= 0.4
Now
Growth rate = ROE × Retention ratio
= 0.15 × 0.60
= 9%
And,
Dividend for next period i.e D1 is
= EPS × Payout ratio
= $6 × 0.4
= $2
.4
So,
Current price = D1 ÷ ( Market capitalization rate - Growth rate )
= $2.4 ÷ ( 0.14 - 0.09 )
= $48
And, finally
P/E ratio is
= (Current price) ÷ (EPS)
= $48 ÷ $6
= 8
Answer:
These are the options for the question:
a. lowering GDP
b. raising GDP
c. leaving GDP unchanged
And this is the correct answer:
b. raising GDP
Explanation:
Going out to eat at a fast food restaurant such as McDonald's is usually (not always) more expensive that buying groceries, and preparing meals at home. This means that eating out increases spending, raising GDP.
Eating out also increases spending on gasoline, tips to waiting staff, and even on merchandise, because it is frequent that parents buy toys to kids while eating out. All this actions contribute even more to increasing GDP.
Answer:
$6.87
Explanation:
Calculation for what The contribution margin per unit is:
Selling price per unit $12.26
LessVariable cost per unit ($5.39)
Contribution margin per unit $ 6.87
($12.26-$5.39)
Therefore The contribution margin per unit is: $6.87
Answer:
Computer roles in education in modern society
Storage of information.
Quick data processing.
Audio-visual aids in teaching.
Better presentation of information.
Access to the Internet.
Quick communication between students, teachers and parents.
Explanation:
Computers make people's lives easier and more comfortable:
they provide opportunities for staying in touch to billions of people who are in different parts of the world.
People can drive computerized cars and work for employers from other countries without even seeing them.
Answer:
A. Typically, stages of the financial life cycle, income, net worth and your credit score move in unison, and the cost of the loans tends to be lower in early financial life cycle stages due to a sufficient supply of fund sources.
Explanation: