Answer:
share price at 5 year is $45.19
Explanation:
given data
annual dividend D1 = $2.86
paid a dividend Do = $2.75
discount rate K = 11.7 percent
to find out
share price of common stock be worth five years
solution
first we get here growth rate that is express as
growth rate =
..................1
put here value we get
growth rate = 
growth rate = 4%
so here dividend at 6 year will be
Dn = Do ×
.............2
D6 = 2.75 ×
D6 = $3.48
so share price at five year will be
P5 =
.................3
P5 =
P5 = $45.19
so share price at 5 year is $45.19
Answer:
The correct answer is letter "D": optimal currency area.
Explanation:
An Optimal Currency Area or OCA refers to a region that allows the establishment of a common currency for different countries that have similar economic patterns allowing them to set similar macroeconomic policies. The objective is the integration of those economies promoting growth and currency stability.
However, <em>economic hardship in Greece put block currencies such as the euro at risk since it unbalanced the Euro weight in western Europe. The relatively recent United Kingdom auto exclusion of the European Union (EU) through the "Brexit" is also a sign that the European zone has many countries looking for different interests.</em>
Answer:
a. Overstate b. Understate c. Understate d. Understate
Explanation:
a. As the environment becomes dirtier, the broad standard of living declines, but it is not included in GDP. GDP includes final goods and services produced. So, here GDP will be overstated.
b. Similarly, the decline in crime rates are not included in GDP, though cause the standard of living to improve. So, here GDP is understated.
c. Availability of variety of goods improves the standard of living but is not included in GDP, so it is understated.
d. A decline in the infant mortality rate means the broad standard of living is improving. But since it is not included in the GDP, it is understated.
E.common market, free trade area, customs union, political union, and economic union