Answer:
$235,000
Explanation:
The computation of the goodwill amount attributed is shown below:
Common stock $1,660,000
Preferred stock $630,000
Non controlling interest in common stock $415,000
Non controlling interest in preferred stock $270,000
Fair value at acquisition date $2,975,000
Book value $2,740,000 (560,000 + $810,000 + $360,000 + $1,010,000)
Goodwill $235,000
Answer: Invention
Explanation: An invention is the creative ability of an individual to make something that has not been made before.
It is also a process of creating an item, service or something that has not been seen or used before.
The Engineer at 3M made a new product concept called Post-It notes by applying adhesive glue to small pieces of paper is a new invention.
Answer:
The target stock price in year 1 is $51.12
Explanation:
Given SE = $6 MIL, NI= $906 000, Div= $408180, Shares= 200000, PE ratio= 24 , SP =?
W e will use the price earning ratio as we are are given the benchmark PE ratio and this ratio measures the stock price relative to it profits
PE = Stock price / Earnings per share
Need to calculate Earnings per share
EPS = net Income - dividends/ oustanding Shares
=906000-480180/200000
=$2.1291/$2.13
Sustitute in the formula for PE ratio
24 = Stock Price/2.13
Stock Price = $51.12
Therefore the target stock price in year 1 is $51.12
