Answer:
The value of the Share of Zeke after the new Expansion is $25.
Explanation:
As there was no growth in the dividend before change, Price of the share from a stable dividend payment can be calculated by following formula.
Price = Dividend / Required rate of return
As we have the share price and the dividend amount we need to calculate the required rate of return.
Required rate of return = Dividend / Price
Placing value in the formula
Required rate of return = $2.50 / $25.00 = 0.1 = 10%
After New Expansion
Dividend = $1.50
Growth rate = 4%
The share price can be calculated by the dividend growth formula, as follow
Price of share = Dividend / (Rate of return - growth rate)
Price of share = $1.50 / (10% - 4%)
Price of share = $1.50 / 6%
Price of share = $25
Answer:
mother trucker u suppose to put one answer
A.<span>Checks and Debit Cards both withdraw money directly from a bank account. </span>
<span>It functions like a business but uses the money it makes to fund the cause identified in its charter. The student organization does not make any profits on their activities and instead donates them to charity.</span>
Answer:
CONSUMPTION TO THE LEVEL OF DISPOSABLE INCOME
Explanation:
It typically measures the aggregate amount of disposable income of a household in comparison to their consumption. Two measurements are used I.e. Avetage Propensity to Consume (APC) which is obtained by dividing consumption by income and Marginal Propensity to Consume (MPC) which is the ratio of each individual dollar of household income spent on consumption.