Answer:
Using the DDM method we can find the fair value of the stock. For that we need the current years dividend, the company's growth rate and the required rate of return on the stock.
The formula for DDM is
Value = D*(1+G)/R-G
D= 1.32
G= 9.5%
R=13%
1.32*(1+0.095)/(0.13-0.095)= 41.29
The fair present value of the company based on the dividend discount model is $41.29.
Explanation:
Answer:
$63,260
Explanation:
Break-even point is the level of Activity where a firm neither makes a profit nor a loss.
Break even point (Dollars) = Fixed Costs / Contribution Margin Ratio
Contribution Margin Ratio
Is calculated as := Contribution / Sales
= (Sales less Variable Costs) / Sales
= ($43,000+$56,000-$11,980-$14,750) / $99,000
= $72,270/$99,000
= 0.73
Break even point (Dollars) = $46,180 / 0.73
= $63,260
i guess the correct answer is conciseness
Khalida is sending an e-mail message to a client. Before sending it, she wants to make sure that she has made her point in the fewest possible words.
Khalida is checking for conciseness.
A single unit or equal part of stock is a Corporation .
Answer:
The correct answer is option b.
Explanation:
Inflation refers to the continuous and sustained growth in the general price level. As the price level rises, it reduces the purchasing power or value of cash balances held by the consumers to reduce. This causes real income to decline.
A certain level of inflation is desirable in an economy to promote growth but a high rate of inflation is harmful. Inflation can be of several types such as
- Demand-pull inflation
- Cost-push inflation
There are several measures used to calculate inflation, for instance, the consumer price index. To correct inflationary pressures, a government uses contractionary fiscal and monetary policy.
