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maksim [4K]
3 years ago
9

Michael's, Inc., just paid $1.90 to its shareholders as the annual dividend. Simultaneously, the company announced that future d

ividends will be increasing by 4.2 percent. If you require a rate of return of 8.5 percent, how much are you willing to pay today to purchase one share of the company's stock?
Business
1 answer:
sergij07 [2.7K]3 years ago
6 0

Answer:

$44.18

Explanation:

The price can be easily calculated by the simple formula,

Price of stock = Dividend / (rate of return - growth of dividend)

Hence,

Price of stock = 1.90 / (0.085 - 0.042)

Price of stock = $44.18.

Hope you understand this simple equation

Thanks buddy.

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Read each scenario and pick the statement that matches it.
diamong [38]

Answer:

1. b

2. c

3. a

4. d

Explanation:

4 0
2 years ago
Which statement about NTDs is FALSE?
Andreyy89

Answer:<u><em> NTD control is not a best buy in global health, causing additional challenges.</em></u>

(NTDs) stand for Neglected tropical diseases which are a unit of parasitic diseases that grounds significant sickness for people all around the globe. Mostly affecting world’s hapless individuals, It damages bodily and cognitive improvement.

<em>Therefore, it can be said that NTD controls are crucial all around the world.</em>

<u><em>The correct option is (a)</em></u>

3 0
3 years ago
In one of the training sessions in your company, you notice several members are not from the United States. These members are al
Alja [10]

Answer:

Go-round

Explanation:

It is not uncommon that some people can be reticent and not contributing to discussion during a session. This does not mean that such people do not have anything to contribute but may just be shy .

One technique to encourage these members to express their opinion is by employing the go - round discussion method. This can give them the courage to voice their opinion when it is their turn to speak

5 0
3 years ago
Which of the following is a characteristic of managerial accounting?
Dmitry [639]

Answer: E. All of the above are characteristics of managerial accounting.

Explanation:

Managerial accounting is geared towards analysing accounting data to help management of an organization make decisions. As such it is internal and is seen by company employees.

To help the management, specific management reports are produced from which decisions affecting the company can be made. It is relatively flexible to enable it to suit the demands of the company and as it is for internal use, is not independently audited.

5 0
3 years ago
A portfolio consists of $13,400 in Stock M and $18,900 invested in Stock N. The expected return on these stocks is 8.50 percent
Aneli [31]

Answer:

The expected return on the portfolio is:

10.31% ($3,331.40)

Explanation:

a) Data and Calculations:

Portfolio investments:  Expected Returns %   Expected Returns $

Stock M = $13,400           8.50%                           $1,139

Stock N = $18,900          11.60%                           $2,192.40

Total        $32,300          10.31%                           $3,331.40

Total expected returns in percentage is Expected Returns $/Total Investments * 100

= $3,331.40/$32,300 * 100

= 10.31%

b) The expected returns on the portfolio is derived by calculating the expected returns for each investment and summing up.  Then dividing the expected portfolio returns by the portfolio investment.  This yields 10.31% percentage value.

3 0
3 years ago
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