The answer in the space provided is vertical dimension of a
firm’s structure. This is a structure in which a manager is being relied on or
the one who is responsible of executing a command in means of having to control
the employees and the task that they should do.
Answer:
75% is the work center utilization
Explanation:
Mathematically;
Utilization = (Actual Output/Design capacity)*100
From the question;
Actual output = 300
Design capacity = 400
Substituting these values in the equation, we have:
= (300/400)*100
= 0.75*100
= 75%
Answer: The answer is provided below
Explanation:
a. The reconstructed journal entry has been prepared and attached.
b. The following are the effects it has on the investing section or the financing section of the statement of cash flows.
The first transaction will lead to a cash inflow of $8,000 from the investing activities.
The second transaction is non-cash transaction therefore, it will not be reported in either the financing or the investing activities.
The third transaction will lead to a cash inflow of $2,000 from the financing activities.
The fourth transaction will lead to a cash outflow from the financing activities.
Thw diagram has been attached.
The question is incomplete. Here is the complete question.
Caribou Gold Mining Corporation is expected to pay a dividend of $6 in the upcoming year. Dividends are expected to decline at the rate of 3% per year. The risk-free rate of return is 5%, and the expected return on the market portfolio is 13%. The stock of Caribou Gold Mining Corporation has a beta of .5. Using the constant-growth DDM, the intrinsic value of the stock is _________. A. $150 B. $50 C. $100 D. $200
Answer:
$50
Explanation:
Caribou Gold mining corporation is expected to make a dividend payment of $6 next year
Dividend are expected to decline at a rate of 3%
= 3/100
= 0.03
The risk free rate of return is 5%
= 5/100
= 0.05
The expected return on the market portfolio is 13%
= 13/100
= 0.13
The beta is 0.5
The first step is to calculate the expected rate of return
= 0.05+0.5(0.13-0.05)
= 0.05+0.5(0.08)
= 0.05+0.04
= 0.09
Therefore, the intrinsic value of the stock using the constant growth DDM model can be calculated as follows
Vo= 6/(0.09+0.03)
Vo= 6/0.12
Vo= $50
Hence the intrinsic value of the stock is $50
