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Zinaida [17]
3 years ago
5

If D 0 = $1.75, g (which is constant) = 3.6%, and P 0 = $32.00, what is the stock's expected total return for the coming year?

Business
1 answer:
Contact [7]3 years ago
6 0

Answer:

Stock's expected total return for the coming year is 9.27%

Explanation:

P0 = D0(1+g) / (r-g)

$32 = 1.75 * (1 + 3.6%) / (r - 3.6%)

32 = 1.75 * (1.036) / (r - 0.036)

32 = 1.813 / (r - 0.036)

32*(r - 0.036) = 1.813

32r - 1.152 = 1.813

32r = 1.813 + 1.152

32r = 2.965

r = 2.965 / 32

r = 0.09265625

r = 9.265625%

r = 9.27%

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Answer:

False

Explanation:

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Since in the question it is mentioned that the companies would not continue with the defined benefit plan and they move to the defined-contribution plans that save for the retirement so that it would create the more responsibility over the company due to this they would provide the retirement benefit but this statement is false as it is better to received the lumpsum amount

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2 years ago
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Answer:

The actual price = $1.08

Explanation:

The standard material price can be worked out as follows:

<em>Step 1: Work out the standard price of material  using the material usage variance</em>

Standard price = Material usage variance/(standard quantity of material - actual quantity)

Standard quantity of material = standard qty per unit × actual production

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<em>Step 2 : Work out the Actual material price using the material price variance</em>

Material price variance = (Standard price - Actual price )× Actual quantity of material

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6400 = 17,000y  - 11,900

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The actual price = $1.08

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3 years ago
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sukhopar [10]

Answer:

a

Explanation:

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Answer:

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