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3 years ago

What is the first step in financial planning?

Business

2 answers:

Nuetrik [128]3 years ago

8 0

Answer: Analyzing the current situation

Explanation: I just took the test and this is the correct answer.

Amanda [17]3 years ago

6 0

DETERMINING YOUR OBJECTIVES FOR THE PLAN

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ABC common stock just paid a dividend of $2.50 per share. The ABC dividend is expected to grow 20% per year for two years, and t

Liula [17]

Answer and Explanation:

Given that the dividend will grow at 20% for two years and then a constant 6% at third year

1st year dividend at 20%= $3

Present value of the dividend for the first year=PV factor at 15%(from table) = $2.61

2nd year dividend at 20% = $3.60

Present value of the dividend for the second year = PV factor at 15%(from table) $2.72

3rd year dividend at 6% growth rate =

$42.40

Present value of the dividend for the third year = PV factor at 15% = $32.06

Current price of the stock =$2.61+$2.72+$32.06

=$37.39

6 0

4 years ago

What is 2divided by 100

aleksley [76]

Answer:

0.02

Explanation:

4 0

3 years ago

Read 2 more answers

.A study of labor force participation rates of women in the post-World War II period noted: Over the long run, women have joined

quester [9]

The correct answer is c

7 0

3 years ago

Jarvey Corporation is studying a project that would have a ten-year life and would require a $450,000 investment in equipment wh

Tems11 [23]

Answer:

Payback period = 3 years

Explanation:

The payback period is the average length of time it takes the cash inflow from a project to recoup the cash outflow.

Where a project is expected to generate a series of equal annual net cash inflow, the payback period can be calculated as:

Payback period =The initial invest /Net cash inflow per year 

The cash inflow = Net operating income + Depreciation

= 105, 000 + 45,000 = 150,000

Note we have to add back depreciation because it is not a cash-based expenses. And payback period makes use of only cash-based revenue and expenses.

Payback period = 450,000/150,000

= 3 years

Payback period = 3 years

5 0

4 years ago

The management of Wyoming Corporation is considering the purchase of a new machine costing $375,000. The company's desired rate

Bezzdna [24]

Answer:

Option B is the correct answer,1.05

Explanation:

Present value index can be computed using the below formula:

present value index=present value of cash inflows/initial amount invested

present value of cash inflows=annual net cash flow*present value factor of annuity

annual net cash flow=$93,750

present value factor of annuity=4.212

present value of cash inflows=$93,750*4.212=$394,875.00

initial amount invested is $375,000

present value index=$394,875.00/$375,000 =1.053

The present value index of this project is approximately 1.05,which is the option B in the multiple choices

3 0

3 years ago