The price should you be willing to pay for this stock is $24.86
<h3>Zephyr Inc. sells wind based systems for generating electricity. The company pays no dividends, but you estimate the stock will be worth $50 per share 5 years from now and you require a 15% rate of return for stock investments of this type. What price should you be willing to pay for this stock?</h3>
A) $12.50.
B) $24.86.
C) $43.48.
D) $57.50.
Solution:
The price that will be paid for this stock can be calculated as follows:
50= x (15/100^5)
50= x (0.15+1^5)
50= x (1.15^5)
50= 2.0113x
Divide both sides by the coefficient of x
= 50/2.0113
= 24.86
Thus, the price that will be paid for the stock is $24.86
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A combination of the product, company, and salesperson.
Answer:
<u><em>The answer is</em></u>: <u>True.</u>
Explanation:
<u>There are several sources that offer financial aid to help students.
</u>
Financial aid can come from federal sources, from the state, from educational or private institutions that help you pay for the university or professional institute.
The federal government offers several financial aid programs. Federal student aid covers expenses such as tuition and fees, room and board, books and supplies, as well as transportation. It can also help pay other related expenses, such as a computer and caring for dependents.
The U.S. Department of Education grants more than $ 120 billion a year in scholarships and grants, funds for the Study and Work Program, and low interest loans to more than 13 million students.
Thousands of educational institutions across the country participate in federal student aid programs.
<u><em>The answer is</em></u>: <u>True.</u>
Answer:
The correct answer is letter "D": normal goods.
Explanation:
Normal Good is any good or service that sees its increase in demand as a result of an increase in income. Normal goods are defined as having an income elasticity coefficient of demand (<em>percentage change in quantity demanded by the percentage change in price</em>) which is lower than one (1) but is still a positive number.
<em>Consumer staples such as food, drugs, beverages, </em>and <em>basic household products</em> are considered normal goods.
