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Andreyy89
3 years ago
15

A share of Lash Inc.'s common stock just paid a dividend of $1.00. If the expected long-run growth rate for this stock is 5.4%,

and if investors' required rate of return is 11.4%, what is the stock price?a. $16.28b. $16.70c. $17.13d. $17.57e. $18.01
Business
1 answer:
SVETLANKA909090 [29]3 years ago
6 0

Answer:

D. $17.57

Explanation:

We can apply dividend discounted model (DDM) to value the stock of this company. DDM is stated as below:

Current stock price = Next year dividend/(Required rate of return - Dividend growth rate)

                                  = T[his year dividend x (1 + Dividend growth rate)]/(Required rate of return - Dividend growth rate)

                                  = [1.00 x (1 + 5.4%)]/(11.4% - 5.4%) = $17.57

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Answer:

Answer is $10,500.

Refer below.

Explanation:

Camille's Café is considering a project that will not produce any sales but will decrease cash expenses by $12,000. If the project is implemented, taxes will increase from $23,000 to $24,500 and depreciation will increase from $4,000 to $5,500. The amount of the operating cash flow using the top-down approach is:

$10,500

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3 years ago
Seating Company is currently selling 1,400 oversized bean bag chairs a month at a price of ​$95 per chair. The variable cost of
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Answer:

Contribution Margin Income Statement

+Sales Revenue                        1,400 x $95 = $133,000

-Variable production costs     1,400 x $65 = ($91,000)

-Variable selling costs              1,400 x $2 = ($2,800)

=Contribution Margin                $133,000 - $91,000 - $2,800

                                                 =  $39,200

-Fixed production costs          ($13,000)

=Net profit                                = $39,200 - $13,000

                                                 = $26,200

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3 years ago
What is the most important factor to you in choosing a job?
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Explanation:

1. Salary: Yes it is the salary which comes top most. Everybody needs money and each and everyone expects different salary based on their skills.

2. Career prospects: Career prospects are higher important than the salary. Only if the organization can provide space for growth, then only the job seems to be good.

3. Training and Development: This is one of the important aspect to upskill oneself. The upskill supports both personal growth and the growth of the organization.

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Answer:

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Explanation:

Most companies require this type of procedures to ensure that the employees wouldn't scam the customers during the transaction process.

Restating the total and the total changes allow the guests to conduct a self-calculation for the purchase, ensuring whether the price is suitable to the price tag that provided on the counter.  This prevent the employees from giving a higher price to the customers and taking the additional amount for themselves.

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