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amid [387]
4 years ago
13

Grateful Eight Co. is expected to maintain a constant 3.7 percent growth rate in its dividends indefinitely. If the company has

a dividend yield of 5.6 percent, what is the required return on the company’s stock? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Business
1 answer:
OverLord2011 [107]4 years ago
7 0

Answer:

9.30%

Explanation:

Data provided in the question

Growth rate = 3.7 percent

Dividend yield = 5.6 percent

The computation of the required rate of return on the company stock is shown below:  

= Growth rate + dividend yield

= 3.7% + 5.6%

= 9.30%

We simply added the growth rate and the dividend yield so that the required rate of return could come

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Splish Brothers Inc. uses a perpetual inventory system. Data for product E2-D2 include the following purchases.
harkovskaia [24]

Answer:

Splish Brothers Inc.

Perpetual Inventory Schedule using moving average costs:

Date       Description   Number   Average Cost  Total Cost          Cost

                                     of Units                                                   Balance

May 7         Purchase       105               $7                $735            $735

June 1        Sales              (55)              $7                  385              350

July 28       Purchase         63             $18                1,134            1,484

August 27  Sales              (84)            $13.1327        1,103               381

Explanation:

a) Data and Calculations:

Date                          Number of Units   Unit Price    Total Costs

May 7         Purchase           105                $7                $735

June 1        Sales                  (55)               $7                  385

July 28       Purchase            63              $18                 1,134

August 27  Sales                 (84)             $13.1327        1,103

Cost of goods sold = $1,488 ($385 + $1,103)

Ending inventory =       $381

8 0
3 years ago
Identify the set of character traits under the achievement, planning, and power clusters. From each cluster, choose one characte
ValentinkaMS [17]

The set of character traits under the achievement, planning, and power clusters includes: opportunity seeking and initiatives, persistence, fulfilling commitment (commitment to work contract), taking risk (calculated), demand for efficiency and quality, goal seeking, information seeking, systematic planning and monitoring, persuasion and networking, self-confidence and independence

One character trait that in your opinion best describes me is

  • Persistence

One personal experience that demonstrates that trait was;

  • There was a time in my life, I was searching for a job. A friend of mind gave me a job that was not in my field of expertise to work on. He told me how to do it, but I was experiencing some difficulties. But when I think of how cashless I was and how I don't want to give up and disappoint the person who trust me, I put extra effort into studying more concerning the work.
  • I did a very good job of which i was commended for and so i promise myself not to give up but be more persistence in all that i hope to achieve.

For better understanding, let us explain what the Character Traits means

  • Character Trait is simply known as the mark or attribute that set apart an entrepreneur from the owner of an ordinary small business.

  • Achievement Cluster is simply made up of entrepreneurial character traits that are closely linked to the entrepreneur's desire to be an achiever in his/her field of entrepreneurship.

  • Planning Cluster is simply refered to as different characteristics of successful entrepreneurs that basically supports the character traits in the achievement cluster

From the above, we can therefore say that the answer The set of character traits under the achievement, planning, and power clusters includes: opportunity seeking and initiatives, persistence, fulfilling commitment (commitment to work contract), taking risk (calculated), demand for efficiency and quality, goal seeking, information seeking, systematic planning and monitoring, persuasion and networking, self-confidence and independence

One character trait that in your opinion best describes me is

  • Persistence

One personal experience that demonstrates that trait was:

  • There was a time in my life, I was searching for a job. A friend of mind gave me a job that was not in my field of expertise to work on. He told me how to do it, but i was experiencing some difficulties. But when I think of how cashless i was and how I don't want to give up and disappoint the person who trust me, I put extra effort into studying more concerning the work.
  • I did a very good job of which I was commended for and so I promise myself not to give up but be persistence in all I do, are correct

Learn more about character traits from:

brainly.com/question/18597344

6 0
3 years ago
Assume MIX Inc. has sales volume of $1,342,000 for two products with May sales and contribution margin ratios as follows:
ololo11 [35]

Answer:

Instructions are below,

Explanation:

Giving the following information:

Product A: Sales $514,000; Contribution Margin Ratio 30%

Product B: Sales $828,000; Contribution Margin Ratio 60%

fixed expenses are $338,000

First, we need to calculate the total contribution margin:

Total CM= CM Product A + CM Product B

Total CM= 514,000*0.3 + 828,000*0.6= $651,000

The operating income is calculated deducting from the total contribution margin the fixed costs:

Operating income= 651,000 - 338,000= 313,000

The average weighted contribution margin is calculated using the contribution margin ratio per product and the sales mix.

Sales mix:

Product A= 514,000/1,342,000= 0.38

Product B= 828,000/1,342,000= 0.62

Weighted average contribution= contribution margin ratio*sales mix

Product A= 0.3*0.38= 0.114

Product B= 0.6*0.62= 0.372

Total= 0.486

Weighted average contribution margin ratio= 0.486= 48.6%

Finally, we can calculate the break-even point in units:

Break-even point (units)= Total fixed costs / Weighted average contribution margin ratio

Break-even point (units)= 338,000/ 0.486= $695,473.25

4 0
3 years ago
During its first year of operations, Maria Rose invested $25,000 in Roseland Inc. in exchange for its common stock. The company
Mazyrski [523]

Answer:

$80,000

Explanation:

During the first year of oeration Maria Rose invested $25,000 in Roseland incorporation

The company earned $68,000 in revenue

They incurred expenses of $32,000

A cash dividend of $5,000 was paid out to Maria

The company owed $24,00£ to its creditors

Assets = liabilities - equity

The first step is to calculate the equity

Equity= common stock - dividend + revenue-expenses incurred

= $25,000-$5,000+$68,000-$32,000

= $20,000+$36,000

= $56,000

Therefore the company's assets can be calculated as follows

= $24,000 + $56,000

= $80,000

Hence the total company's assets is $80,000

8 0
3 years ago
At the beginning of the year, the Dallas Company had the following accounts on its books: Accounts Receivable $264,000 Debit All
lukranit [14]

Answer:

<u>Explanation:</u>

Requirement :

Date Account title and Explanation      Debit                      Credit

Dec.31   Accounts receivable                $2,346,000  

           Sales revenue                                                $2,346,000

[To record credit sales for the year]      

Dec.31 Cash                                    $2,350,000  

          Accounts receivable                                    $2,350,000

[To record collections on account for the year]      

Feb.17 Allowance for doubtful account    $7,500  

           Accounts receivable-R.St. John               $7,500

[To write off R. St. John's account]      

May 28 Allowance for doubtful account   $4,800  

          Accounts receivable-G. Herberger               $4,800

[To write off G. Herberger's account]      

Oct 13 Accounts receivable-G. Herberger $1,200  

            Allowance for doubtful account                 $1,200

[To reinstate G. Herberger's account for partil recovery]      

Oct 13 Cash                                                  $1,200  

              Accounts receivable-G. Herberger           $1,200

[To record collection from G. Herberger]      

Dec 15 Allowance for doubtful account $5,000  

                Accounts receivable-R. Clancy                 $5,000

[To write-off R. Clancy's account]      

Dec 31 Bad debt expense [$2,346,000 x 0.8%] $18,768  

                Allowance for doubtful account                  $18,768

[To record allowance for doubtful accounts]  

<u>Requirement b: </u>

Accounts Receivable $242,700

Less: Allowance for Doubtful accounts $19,168

Accounts receivable net $223,532

<u>Calculations: </u>

T-Accounts

Accounts receivable              Allowance for doubtful account

$264,000 Beg.                                    $16,500 Beg.

$2,346,000          $2,350,000  $7,500             $1,200

$1,200                       $7,500      $4,800                 $18,768

                               $4,800  $5,000  

                                $1,200    

                                 $5,000    

                                   $242,700 End.                 $19,168 End.

4 0
3 years ago
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