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Natasha2012 [34]
3 years ago
14

Beaksley, Inc. is a very cyclical type of business which is reflected in its dividend policy. The firm pays a $2.00 a share divi

dend every other year with a payment being paid today. Five years from now, the company is repurchasing all of the outstanding shares at a price of $50 a share. What is the current value of one share at a discount rate of 12 percent?
Business
1 answer:
taurus [48]3 years ago
3 0

Answer:

$31.24 is the current value of one share at a discount rate of 12 percent

Explanation:

Price today = [PVF 12%, 2 *d2]+[PVF12%,4 ] + [PVF 12%, 5 * P]

             =[.79719* 2 ] +[.63552*2] + [ .56743*50]

             = 1.5944+ 1.2710+ 28.37

             = 31.24

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About how many federal law enforcement offices ate employed in the United States
koban [17]

Answer:

Approximately 18,000

Explanation:

6 0
2 years ago
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The future earnings, dividends, and common stock price of Carpetto Technologies Inc. are expected to grow 7% per year. Carpetto'
bearhunter [10]

Answer:

14.05%

Explanation:

Given that,

Beta = 1.3

Risk-free rate (Rf) = 9.5%

Return on the Market (RM) = 13%

According to CAPM approach:

Cost of common equity (RE):

= [Rf + β (RM – Rf)]

= [9.5% + 1.3 (13% - 9.5%)]

= [9.5% + 1.3 (3.5%)]

= [0.095 + 1.3 (0.035)]

= [0.095 + 0.0455]

= 0.1405

= 14.05%

Therefore, the firm's cost of common equity is 14.05%.

8 0
2 years ago
Ethan considered three important attributes when deciding where he would do his banking: the convenience of the location, hours
sineoko [7]

Answer:

<em>c. evaluative criteria </em>

Explanation:

Evaluative criteria are <em>when a consumer chooses a different product because of factors like value, cost, and functionality from the one they initially had in mind. </em>

It could take a little while for certain consumers to study and explore different goods before they purchase.

While some, just before they purchase, can make the decision automatically.

4 0
3 years ago
The following events took place for Digital Vibe Manufacturing Company during January, the first month of its operations as a pr
dedylja [7]

Answer:

1.  Income Statement for Digital Vibe Manufacturing company

                    For the Month ended January 31

Sales                                                        875,000

Cost of goods sold                                  525,000

Gross Profit                                              350,000

Operating Expenses:

Selling expenses                 125,000

Administrative expenses     80,000

Total Operating expenses                       <u>205,000</u>

Net Income                                               <u>$145,000</u>

<u />

B.

1. Ending material inventory = Material purchased - Used material in production

= 168,500 - 149,250

= $19,250

2. Ending work in Process inventory = Material used in production + Direct labor + Factory overhead - Transferred of work in process to finished goods

= 149,250 + 360,000 + 120,000 - 600,000

=$29,250

3. Ending finished goods inventory = Transfer from work in progress - Cost of goods sold

= 600,000 - 525,000

= $75,000

6 0
2 years ago
Intermediate and deep earthquakes occur along ____________.
Mekhanik [1.2K]
I think the answer is convergent plate boundaries, but I am not positive. hope this helps :)
4 0
3 years ago
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