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s2008m [1.1K]
3 years ago
13

Sankey Co. has earnings per share of $3.95. The benchmark PE is 18.8 times. What stock price would you consider appropriate

Business
1 answer:
trapecia [35]3 years ago
7 0

Answer:

Stock price = $74.26

Explanation:

<em>The value of a share can be determined using the price earning ratio model. According to this model, the price of a share is estimated as the EPS of the company multiplied by a representative (benchmark) price- earning (P/E) ratio</em> .

The  ratio relates the price of a stock to its earning. A stock with a higher P/R indicates a high potent for growth.

Price of stock =Earnings per share( EPS) × benchmark P/E ratio  

The appropriate comparative price earnings ratio in the question has been given as 18.8 times.

DATA-

EPS- 3.95

PE- 18.8

Stock price = 3.95 ×  18.8= $74.26

Stock price = $74.26

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The head teller of a bank embezzled $50,000 from the bank. Which insuring agreement in a financial institution bond is designed
PIT_PIT [208]

Answer:

Fidelity Bond

Explanation:

Based on the information provided within the question it can be said that the type of insurance that covers this is a Insuring Agreement called a Fidelity Bond. This is a type of insurance that covers the buyer of the policy from any losses that they may incur from a specific individual that works for them embezzling money or doing any other fraudulent behavior. Similar to what the head teller did to the bank in this scenario.

4 0
3 years ago
A fast-food restaurant serves the student community within a university campus. The restaurant newly introduces pocket-friendly
MissTica

Answer:

These are the options for the question:

A. Segmentation

B. Cannibalization

C. Market penetration

D. Product bundling

And this is the correct answer:

B) Cannibalization

Explanation:

Cannibalization occurs when a newly introduced product reduces the market share of previous products.

In this case, the pocket-friendly combo meals have effectively made the rest of the menu unattractive to customers, it has cannibalized the other meals.

This effect is refer to as cannibalization, because as the original meaning refers to a hostile act withing the same species, in marketing, this effect occurs among products within the same company.

4 0
3 years ago
Milton friedman argued that consumers are more likely to alter their behavior based on.
Bess [88]

The Right Response is Option C which is Long Term Changes in the Economy.

<h3><u>Why Did Friedman Argued So?</u></h3>
  • The concept of monetarism, which refers to the management of money in the economy, was developed by Milton Friedman. According to Friedman, changes in the money supply can have both long- and short-term consequences.

Friedman suggested that long-term changes in the economy had an impact on consumer behavior. Long-term economic developments have an impact on how consumers behave while making purchases. For instance, if long-term economic trends are favorable, consumer spending will rise; otherwise, it would fall.

Therefore, "long-term changes in the economy" is the right response.

To learn more about Long Term Changes in the Economy. Click the links.

brainly.com/question/20822981

#SPJ4

Correct Question - Milton Friedman argued that consumers are more likely to alter their behavior based on

a) changes in the unemployment rate.

b) short-term changes in the economy.

c) long-term changes in the economy.

d) changes in the inflation rate.

4 0
1 year ago
Kaspar Corporation makes a commercial-grade cooking griddle. The following information is available for Kaspar Corporation's ant
Leto [7]

Answer:

Total cost per unit is $77

Explanation:

Fixed manufacturing overhead per unit = Total fixed manufacturing overhead ÷ Number of units

= $478,800 ÷ 34,200 = $14 per unit

Fixed selling and administrative expenses per unit = Total Fixed selling and administrative expenses ÷ Number of units

= $171,000 ÷ 34,200 = $5 per unit.

Total cost per unit = Direct material + Direct labor + Variable manufacturing overhead + Fixed manufacturing overhead + Variable selling expenses + Fixed selling expenses

Total cost per unit = $15 + $5 + $11 + $14 + $5 + $5 = $55 per unit.

Markup = 40% of total cost = $55 × 40% = $22

Therefore, total selling price per unit = Cost per unit + Markup

= $55 + $22 = $77 per unit.

7 0
3 years ago
A share of common stock just paid a dividend of $1.00. if the expected long-run growth rate for this stock is 5.4%, and if inves
solong [7]
It's 16.282. ok I don't think for sure though
7 0
3 years ago
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