1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Ann [662]
3 years ago
12

Which of the following is the term used to describe the excess of cash flows from operations over the amount of cash outflows us

ed to replace property, plant, and equipment and to fund financing outflows of cash for dividends to stockholders?
a. Cash equivalents
b. Expansion cash flow
c. Free cash flow
d. Working capital
Business
1 answer:
horsena [70]3 years ago
6 0

Answer:

C) Free cash flow

Explanation:

A free cash flow (FCF) is how much cash a company has left after paying all the expenses related to its operations and capital expenditures excluding depreciation.

FCFs are used to determine a company's value and to determine how profitable or not a new or existing project might be. The discounted FCF method is the most commonly used method to value a company.

You might be interested in
Colgate-Palmolive Company has just paid an annual dividend of $ 1.50$1.50. Analysts are predicting dividends to grow by $ 0.12$0
klio [65]

Answer:

The price does the​ dividend-discount model predict Colgate stock should sell for​ today is $66.47

Explanation:

In order to calculate the price does the​ dividend-discount model predict Colgate stock should sell for​ today we would have to calculate first the Present value of dividend of next 5 years as follows:

Present value of dividend of next 5 years as follows=

Year Dividend Discount factor Present value      

a             b          c=1.085^-a             d=b*c      

1 $       1.62 0.921659 $       1.49      

2 $       1.74 0.849455 $       1.48      

3 $       1.86 0.782908 $       1.46      

4 $       1.98 0.721574  $       1.43      

5 $       2.10 0.665045 $       1.40      

Total                                   $       7.25

Then, we have to calculate the Present value of dividend after 5 years as follows:

Present value of dividend after 5 years=D5*(1+g)/(Ke-g)*DF5

Present value of dividend after 5 years=$2.10(1+6%)/(8.50%-6%)* 0.665045

Present value of dividend after 5 years=$59.22

Current value of stock=Present value of dividend of next 5 years+ Present value of dividend after 5 years    

Current value of stock= $7.25+$59.22      

Current value of stock=$66.47        

The price does the​ dividend-discount model predict Colgate stock should sell for​ today is $66.47

8 0
3 years ago
WILL GIVE BRAINLIEST
shepuryov [24]

the answer is b:) because high interest rates mean increased cost for all the others since it is not a fixed cost for them

8 0
3 years ago
Read 2 more answers
assume that two firms are both following generally accepted accounting principles. both firms commenced operations two years ago
Igoryamba

The statement is False as when the balance sheets for the two companies are submitted to investors, they are not obligated to disclose the same amount of net fixed assets.

The Property, Plant, and Equipment classification is used to categorize fixed assets on a company's balance sheet. The cost of fixed assets is decreased on the balance sheet by depreciating them over the course of their useful lives in order to account for wear and tear. Both firms started off with $1 million worth of identical fixed assets when they first opened their doors two years ago, and neither one has sold or added any new ones. So, they are not supposed to report the same amount of fixed assets to investors since there is an absence of asset purchases.

Both current assets and fixed assets are listed on the balance sheet, with current assets intended for use immediately or for cash conversion and fixed assets for longer-term usage (more than one year).

Learn to know more about Accounting principles on

brainly.com/question/18006164

#SPJ4

8 0
10 months ago
If you borrow $25,000 from a local finance company and you are required to pay $4,424.50 per year for 10 years, what is the annu
djyliett [7]

Use this formula:

A= P(1+rt),

A is the final investment amount (4424.50x10)

P is the principal amount (25,000)

r is the rate of interest (annual)

t is the time period (10)

If A= P(1+rt),

then (1+rt) = A/P.

(1+r(10)=( 44,245)/25,000

10r=1.7698-1

r=.7698/10

<span>r=.07698 or 7.698%</span>

3 0
2 years ago
This year Ed celebrated his 25th year as an employee of Designer Jeans Company. In recognition of his long and loyal service, th
Crank

Answer:

$2,490

Explanation:

Based on the information given we were told that in order for the company to recognize his long as well as loyal service they awarded Ed a gold watch worth the amount of $105 which as well include the amount of $2,490 as cash bonus which means that the amount that Ed must include in his gross income will be the cash bonus amount of $2,490.

Therefore the amount that Ed must include in his gross income is $2,490

4 0
3 years ago
Other questions:
  • In a team, if someone gets stuck with the selected tasks for the iteration, what is the immediate next step?
    6·1 answer
  • Which of the following systems would work best for a very standardized product that has a fairly high and predictable demand? a.
    13·1 answer
  • . Gibson Company sales for the year 2019 were $4.5 million. The firm’s variable operating cost ratio was 0.45 and fixed costs (t
    8·1 answer
  • Lawton Company records business transactions in dollars and disregards changes in the value of a dollar over time. Which of the
    12·1 answer
  • Producers use marketing intermediaries because they ________. Group of answer choices provide technical expertise for faster pro
    15·1 answer
  • You work as an assistant coach on the university basketball team and earn $13 per hour. One day, you decide to skip the hour-lon
    15·1 answer
  • dit sales of $42,000 and $68,000, respectively. The company expects to collect 60% of its credit sales in the month of the sale,
    5·2 answers
  • What recent StuffDot actions have added to its user-friendliness
    9·1 answer
  • Many companies look at a persons social media postings when considering whether to hire them
    9·2 answers
  • All along the supply chain, distribution channels add value to the product by
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!