Answer:
d. The stock price is expected to be $54 a share one year from now.
Explanation:
Using dividend discount model(DDM), find next year's dividend;
P0 = D1/ (r-g)
50 = D1/(0.14-0.08)
50 = D1/ 0.06
Multiply both sides by 0.06 to solve for D1;
50 *0.06 = D1
3 = D1
Next, year's dividend is $3
Dividend yield = D1/P0;
= 3/ 50 = 0.06 or 6% hence choices A& B are incorrect.
Next year's price; P1 = P0(1+g)
P1 = 50(1.08) = $54 hence choice D is correct
Answer:
I beleive this one would be a bit of a matter of opinion when it comes down to it, but personally I would call it a bit unethical.
Explanation:
Escpecially when it comes to something like medication, it feels unethical to be advertising yourself as the only brand that will work. In my mind unique selling proposition would be focusing on what differentiates your product from others (example, my product can provide 48 hour vs other brands that only offer 24 hour) Simply stating their brand is the only solution feels unethical and does not provide ample evidence of this claim to customers in my opinion. I don't think it would be considered illegal, but in my mind its tiptoeing the line of ethics.
Answer:
Less than; Greater than.
Explanation:
The total goods quantity will be lesser in a competitive market while it will be greater in a monopoly state or market.
This also explains optimal price which can be defined as the price at which the seller can make the highest profit possible, that is, the seller’s price is maximized. The rule of marginal output postulates that profit is maximized by producing an output, whereby, the marginal cost (MC) of the last unit produced is exactly equal to the marginal revenue (MR).
The prediction that the inflation rate will change is that there will be a right-ward shift of the curve to indicate that inflation is on the increase. Recall that unemployment is depicted on the x -axis, and inflation on the y-axis.
<h3>What is a Phillips curve?</h3>
The Philips curve shows an inverse relationship between unemployment and inflation.
<h3>What will happen if the unemployment rate now rises to 7 percent per year? </h3>
Because the relationship between inflation and unemployment is inverse (that is, all things being equal), if the unemployment rate now rises to 7 percent per year, the inflation rate is sure to fall.
Learn more about Phillips curve at;
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Answer: Assets = Liabilities + Stockholders Equity.
Explanation: Assets refers to the resources owned by a firm for operating its business. Equity refers to the amount of fund invested in the business by the shareholders and liabilities are the obligations of the business.
Thus, it is assumed that every asset that an organisation owns is either purchased by the funds that belongs to the shareholders or on credit by taking liabilities into account.
Hence, from the above we can conclude that ,Assets = Liabilities + Stockholders Equity, correctly depicts the accounting equation.