Answer:
The answer is 1000 dollars.
Explanation:
In this question we are asked to calculate the cash closing balance as at 30 september. The opening cash balance that is 10000 dollars is given and, data related to the receipt and payments made in the quarter ended at september is also provide in the question.
We can easily calculate the cash balance as at 30 september with the help of accounting equation given below.
Closing Balance = Opening balance + Cash collections- Cash payments
= 10,000+ 209,000- 218,000*
= 1000$
* It include sum of all capital expenditures, operating expenses and purchases of direct material.
High <u>debt to owner's equity ratio. </u>
This is total liabilities divided by total assets and shows a company's financial leverage, also known as their ability to handle current and future financial obligations.
Answer: The shareholder model of corporate governance
Explanation:
The agency problem is typically a conflict of interest in a relationship whereby a party is expected to act in the best interest of the other party. It should be noted that in corporate finance, the agency problem is a conflict of interest that takes place between the management of the company and the stockholders.
The agency problem wherein ownership and control of a corporation are separate is associated with the shareholder model of corporate governance.
Answer: Economics is the study of how society uses its limited resources. Economics is a social science that deals with the production, distribution, and consumption of goods and services.
Explanation:
Answer: $3.46
Explanation:
Given the following :
Current share price (P0) = $90 per share
Required return on stock= 8%
total return on the stock is evenly divided between a capital gains yield and a dividend yield ;
Therefore, Required return on stock= 8% ;
4% capital gain yield + 4% Dividend yield = 8%
Growth rate = 4% = 4/ 100 = 0.04
D1 = D0(1 + g)
D1 = value of next year's Dividend
D0 = current Dividend yield
g = Constant growth rate
D1 = current stock price * g
D1 = 90 * 0.04 = 3.6
D1 = D0(1 + g)
D0 = D1 / (1+g)
D0 = 3.6 / (1+ 0.04)
D0 = 3.6 / 1.04
D0 = $3.46
