Answer:
An investor will be willing to pay $40.29 for this stock.
Explanation:
A constant growth dividend discount model will be used in this case because Hudson Corporation is expected to grow at a constant rate. The formula to be used is:
Price = Expected Dividend (Dividend of Year 1) / Required Return - Growth Rate
OR
Price = 2.82 / (.1 - .03) = 2.82 / .07 = $40.29.
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The term Hidden Job Market refers to the jobs that are not posted online or published or advertised in newspapers or elsewhere. The chances of getting jobs through hidden job markets is more than through regular channels. In this case, the employers do not like to disclose the job details and choose to hire internally.
Three strategies to seek jobs in a Hidden Job Market are as follows:
1. Change your resume according to the needs of a job by doing extensive research about the industry where applying.
2. Try to follow the news related to that industry online on social media and attend job seminars organized by companies.
3. Try to keep in contact with your references and update them regarding any skills that you learned or developed in recent months.
Answer:
d. $800,000
Explanation:
In opportunity cost parlance, we talk about the cost/benefit forgone of the next best alternative, not for all alternatives forgone.
The benefit forgone of the next best alternative is the $800,000 that could have been earned if the funds have been invested in the money market account, in other words, $800,000.
Answer:
the expected annual profit for the number of beauticians is $70,000
Explanation:
The computation of the expected annual profit for the number of beauticians is shown below:
= 50 × 0.50 + 75 × 0.20 + 100 × 30
= 25 + 15 + 30
= 70
= $70,000
hence the expected annual profit for the number of beauticians is $70,000. The same is to be considered
All other information that are mentioned should be ignored
Answer:
(A) $425,000
(B) $24,350
Explanation:
(a) Average Operating Assets:
= (Beginning Operating Assets + Ending Operating Assets) ÷ 2
= ($390,000 + $460,000) ÷ 2
= $425,000
Therefore, the average operating assets is $425,000.
(b) Residual Income:
= Operating Income - (Minimum Rate of Return × Average Operating Assets)
= $66,850 - (10% × $425,000)
= $66,850 - $42,500
= $24,350