Answer:
higher, stocks, flunctuates, risk, bonds, interest
Explanation:
The chosen responses are the best from the options provided. First, to earn a higher long-term rate of return, stocks offer a higher interest rate than bonds and the reason being that they are riskier.
Stocks belong to the owners of an organisation and as such, they are only entitled to interest after the interests of bond owners and preference stock holders have been settled. Meaning, despite the higher rates of interest offered, it is riskier to be a stock holder than a bond holder
Bond on the other hand, are not equity or company ownership units, they represent debts that the company must pay fixed interest rates on. Although we have the convertible to stock and the non-convertible bonds. However, bonds may be safer due to the fixed interest rates that must be paid but interests are lesser than stocks and irrespective of a company's profitability, a bond holder is only entitled to the fixed interest rate unlike the stock holder who enjoys higher dividends as a result of improved profitability.
The <u>procurement</u><u> statement of work</u> documents the portion of work to be purchased in enough detail, so as to help potential suppliers decide whether they're interested and capable of providing it.
<h3>What is procurement?</h3>
Procurement can be defined as a terminology that is used to connote the purchase of raw materials, items or resources from suppliers, which are used by business firms for the manufacturing of other finished goods and services.
Basically, the <u>procurement</u><u> statement of work</u> is typically used to document the portion of work to be purchased by an entrepreneur or business firm in enough detail, so as to help potential suppliers decide whether they're interested and capable of providing it.
Read more on procurement here: brainly.com/question/26101126
Answer:
The correct answer is $65.90 (approx.)
Explanation:
According to the scenario, computation of the given data are as follows:
Dividend paid = $8.50
Increase dividend = $6.50 per year
Require return = 16%
We can calculate the current share price by using following method:
=[($8.5 + $6.5) ÷ (1 + 16%)^1] + [($8.5 + $6.5 + $6.5) ÷ ( 1 + 16%)^2] +[($8.5 + $6.5 + $6.5 + $6.5) ÷ (1+16%)^3] + [($8.5 + $6.5+ $6.5 + $6.5 + $6.5) ÷ (1+16%)^4
= $15 ÷ 1.16 + $21.5 ÷ 1.16^2 + 28 ÷ 1.16^3 + 34.5 ÷ 1.16^4
= $65.90 (approx.)
Answer:
27%
Explanation:
The computation of the net profit margin is shown below;
As we know that
net profit margin = Net profit ÷ sales
where
net profit is
<u>Particulars Amount </u>
Sales (200 customers × $12 × 350 days) $840,000
Less: cost of goods sold (200 customers × $4.50 × 350 days) -$315,000
Gross profit $525,000
Less:
Selling and admin expense -$98,510
Depreciation expense - $20,000
Bank loan interest -$76,265
Net income before tax $330,225
Less tax at 32% -$105,672
Net income after tax $224,553
Now the net profit margin is
= $224,553 ÷ $840,000
= 27%
