Answer:
21%
Explanation:
Given that,
Cost of share = $21.70
Expect to pay dividend in year 1 = $1.00
Expect to pay dividend in year 2 = $1.16
Expect to pay dividend in year 3 = $1.3456
Expected selling price of share at the end of year 3 = $28.15
Growth rate in Dividends:
= [(Dividend in Year 2 - Dividend in Year 1) ÷ Dividend in Year 1] × 100
= [($1.16 - $1.00) ÷ $1.00] × 100
= 0.16 × 100
= 16%
Expected dividend yield
:
= (Dividend in year 1 ÷ Cost of Share
) × 100
= (1.00 ÷ $21.70) × 100
= 0.05 × 100
= 5%
Stock's expected total rate of return:
= Expected Dividend Yield + Growth rate in Dividends
= 5% + 16%
= 21%
Answer:
Total Cost = $309,366
Explanation:
Given:
Number of year = 15 year
Monthly payment = $1,718.70
Find:
Total Cost
Computation:
Total Cost = Number of year x 12 months x Monthly payment
Total Cost = 15 x 12 x 1,718.70
Total Cost = $309,366
Answer: Sensitive analysis
Explanation:
Sensitivity analysis this is a financial standard that is used to regulate how target variables can be affected based on changes in other variables which known as input variables. This is also known as what-if or simulation analysis. It is a way used in predicting an outcome of a decision under a known range of variables.
Answer:
The main functions of the ECA include the study of problems of the economic and social development of the African countries, the promotion of the economic development of the African states, and the strengthening of their economic relations both with one another and with other countries.
Answer:
Country A to specialize in growing com while Country B specializes in making cars.
Explanation:
The idea is to make trade efficient for both countries if is too expensive to produce cars for country A as it is an agricultural country the most smart solution is to specialize in commerce and let the production of cars to country B.