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Anettt [7]
3 years ago
8

TMS just paid an annual dividend of $2.84 per share on its stock. The dividends are expected to grow at a constant rate of 1.85

percent per year. If investors require a rate of return of 10.4 percent, what will be the stock price be in Year 11
Business
1 answer:
bija089 [108]3 years ago
5 0

Answer:

$41.39

Explanation:

Data provided in the question:

Annul Dividend paid, D0 = $2.84 per share

Growth rate, g = 1.85% = 0.0185

Rate of return required, r = 10.4% = 0.104

Now,

Current price of the stock at year 11 = D12 ÷ [ r - g]

= [ $2.84 × (1 + g)¹²] ÷ [ r - g]

=  [ $2.84 × (1 + 0.0185)¹²] ÷ [ 0.104 - 0.0185]

= 3.539 ÷ 0.0855

= $41.39

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Under an operating lease: (Select all that apply.)Check All That ApplyThe lessee reports amortization expense and interest expen
Alja [10]

Answer:

  • The lessee reports a single amount of lease expense, which is equal to interest expense plus amortization expense, in its income statement.
  • The lessee reports lease expense on a straight-line basis and the lessor reports lease revenue on a straight-line basis over the lease term.

Explanation:

An operating lease is basically renting an asset from a lessor where the lessee will pay a certain amount every period for the use of the asset.

This rent payment is equal to the interest expense plus amortization expense and will be reported in the income statement of the lessee as an expense.

This amount will also be reported on a straight-line basis for the duration of the lease term which means that even if rent increases, it will still have to be reported by the same amount over the lease period because the lease increase should have been taken into account already.

The lessor also reports lease revenue on a straight-line basis over the lease term.

3 0
3 years ago
The project represented by this resource load chart has a maximum limit of 6 units of resource activity in any day. The first ac
Charra [1.4K]

Complete Question:

The project represented by this resource load chart (see attached) has a maximum limit of 6 units of resource activity in any day. The first activities that are strong candidates for shifting are:

A) Activity A

B) Activities B and C

C) Activities D and E

D) Activity E and F

Answer:

The first activities that are strong candidates for shifting are:

C) Activities D and E

Explanation:

Activities D and E have a total time of 5 days altogether based on the attached resource load chart.  They have the least time and can be shifted to accommodate other activities before they can be tackled sequentially.

A resource load chart displays the total amount of resources required as a function of time in any given project.  It is the best method for establishing the existence of some resource conflicts across project activities, especially when compared to Gantt Charts, Network Diagrams, and Pareto Diagrams.

Download docx
4 0
3 years ago
Consider luxury weekend hotel packages in las vegas. When the price is $250, the quantity demanded is 2,000 packages per week. W
Aleonysh [2.5K]

Answer: Elasticity of luxury weekend hotel packages in las vegas is -1.432.

Explanation:

Price elasticity of demand measures the responsiveness of quantity demanded to a change in the price of the good.

Mid point method-

e=\frac{Q2-Q1}{\frac{Q1+Q2}{2} } * \frac{\frac{P1+P2}{2} }{P2-P1}e=\frac{1700-2000}{\frac{2000+1700}{2} } * \frac{\frac{280+250}{2} }{280-250}

e=\frac{-300}{1850} } * \frac{265}{30}

e= -0.16216*8.8333

e= -1.432

Elasticity of luxury weekend hotel packages in las vegas is -1.432.



5 0
3 years ago
29. Fiona has initiated a project to establish a company website for interactive electronic commerce that encourages customers t
vichka [17]

Answer:

D) Relationship marketing

Explanation:

Relationship marketing is a strategy companies use to connect with their customers, build relationships and ensure loyalty. It involves engaging customers over a lengthy period to know their needs and then providing them with products or services tailored to satisfy those needs.

By initiating a project to build a website and encouraging customers to provide certain information to the company, Fiona plans to use the Internet for "relationship marketing".

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3 years ago
What proposed changes were made to boost the chinese economy that caused mao to launch the oppressive cultural revolution? choos
klasskru [66]

The changes that were proposed to made to improve the Chinese economy that caused Mao to launch the oppressive Cultural Revolution are-

  • It allows workers to compete for wages
  • It prosecutes government officials
  • It allows farmers to sell excess crops

<h3>What is Cultural Revolution?</h3>

The start of the Cultural Revolution by Mao Zedong As Mao attempted to regain control by mobilizing radical youngsters against the Communist Party leadership, the campaign was fundamentally about upper economics.

These help workers compete for their wages for the work they did. It gives farmers to sell their excess crops and prosecutes the government officials.

Learn more about Cultural Revolution, here:

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6 0
2 years ago
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