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belka [17]
3 years ago
14

Westsyde Tool Company is expected to pay a dividend of $1.50 in the upcoming year. The risk-free rate of return is 6% and the ex

pected return on the market portfolio is 14%. Analysts expect the price of Westsyde Tool Company shares to be $29 a year from now. The beta of Westsyde Tool Company's stock is 1.20. Using the CAPM, an appropriate required return on Westsyde Tool Company's stock is _________.
Business
1 answer:
tresset_1 [31]3 years ago
6 0

Answer:

ER(S) = Rf + β(Rm - Rf)

ER(S) = 6 + 1.20(14 - 6)

ER(S) = 6 + 9.6

ER(S) = 15.6%

Explanation:

The expected return on a stock is a function of risk-free rate plus the product of beta and risk-premium.

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Recent financial statement data for Harmony Health Foods (HHF) Inc. is shown below. Current liabilities $ 180 Income before inte
Anarel [89]

Answer:

B. 75%.

Explanation:

The formula to compute the long-term debt to equity ratio is shown below:

= (Long term debt) ÷ (total shareholder equity) × 100

= ($360 ÷ $480) × 100

= 75%

All other information which is given in the question is not consider for the computation part. Hence, ignored it

We simply divide the long term debt with the total shareholder equity to find out the ratio between them

3 0
3 years ago
According to the rational choice decision-making process, the first step in solving this problem would be:
ser-zykov [4K]

Answer:

The correct answer is: identifying the problem or opportunity.

Explanation:

Identifying the problem or opportunity is the first step in the rational decision-making process. To know which direction the firm is going to take, the main issue must be pointed out so based on the possible solutions the company can provide, the first steps can be taken towards achieving the solution.

4 0
3 years ago
_____ requires coordination among government departments and agencies, as well as cooperation toward common objectives across co
o-na [289]

"Unity of effort" requires coordination among government departments and agencies, as well as cooperation toward common objectives across commands.

<u>Answer:</u> Option C

<u>Explanation:</u>

At the national level the unity of effort is basically a cooperative effort involving a number of departments and agencies of the United States Government. "Unity of effort" is about teamwork and collaboration directed towards common goals although participants do not generally form part of the same command or organisation that is the result of effective unified action.

The aim of promoting cohesion of action is to generate a ellaborative consensus approach while applying national power instruments towards common goals. The unity of  effort is a continuous process which demand constant effort to sustain inter-organizational  relationships.

3 0
3 years ago
Cooperton Mining just announced it will cut its dividend from $4.01 to $2.57 per share and use the extra funds to expand. Prior
mina [271]

Answer:

$34.35

The price has fallen from $50.07 to $34.35 which means that Expansion will not be a good option.

Explanation:

Computation for the share price to expect after the announcement

Using this formula

Ke = [ D1 / P0 ] +g

Where,

D1 =$4.01

P0 = $50.07

g =3.4%

Let plug in the formula

Ke = [ D1 / P0 ] +g

Ke= [ $4.01 / $50.07] + 0.034

Ke= 0.0800+ 0.034

Ke= 0.1140

Second step is to find the Price after Expansion using this formula

P0 = D1 / [ Ke - g ]

Where,

D1=$2.57

Ke=0.1140

g=4.7%

Let plug in the formula

P0= $ 2.57 / [ 0.1140 - 0.047 ]

P0=$2.57/0.067

P0=$ 34.35

Based on this calculation, we can see that the price has fallen from $50.07 to $34.35 which means that Expansion will not be a good option.

Therefore the share price that you would expect after the​ announcement will be $34.35

8 0
3 years ago
The recording of business transactions is a basic part of financial reporting and is referred to as:.
Karo-lina-s [1.5K]

The recording of business transactions is a basic and fundamental component of financial reporting and is known as<u> bookkeeping.</u>

<h3>What is Bookkeeping?</h3>

Bookkeeping is the process of recording financial transactions.  It entails preparing reference papers for all company transactions, activities, and other occurrences.

The primary goal of bookkeeping is to maintain a comprehensive and precise record of all operations and transactions in a methodical, ordered, and logical way. This guarantees that the financial consequences of these activities are accounted for in the accounting books.

Learn more about Bookkeeping here:

brainly.com/question/25572872

4 0
2 years ago
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