Answer:
$0.70 per stock
Explanation:
before tax corporate income = $2.50 per stock
after tax corporate income = $2.50 x (1 - 30%) = $1.75 per stock
distributed dividends = $1.75 x 50% = $0.875 per stock
since the tax rate on dividends is 20%, then the after tax gain earned by stockholders is $0.875 x (1 - 20%) = $0.70 per stock
Some dividends are taxed as long term capital gains (like these), which decreases the tax rate paid by stockholders. If they were taxed at the normal income rate, the tax rate would have been 8% higher.
Answer:
sale of a new share of stock to an individual investor
Explanation:
Securities are created in the primary market. With an IPO which stands for initial public offering, new stocks are sold to the public by companies on a first time basis.
The sale of a new share of stock in the question is an example of a primary market transaction.
Based on the information given, it can be deduced that Trade Winds Corp. has a closed shop arrangement.
A closed shop arrangement simply means a place of work where all the employees gave to belong to an agreed trade union.
Under this condition, an employer will only employ the people that are to be part of the trade union. Therefore, it can be seen that Trade Winds Corp. has a closed shop arrangement.
Learn more about trade union on:
brainly.com/question/366179
The financial analysis component of a business plan is to describe the viability, stability and profitability of a business, sub-business or project.
<span>It is an aspect of the overall business finance function which includes the examining historical data to acquire information about the current and future financial health of a company, business or project.</span>
Answer:
13.16%
Explanation:
In this question we use the RATE formula i.e shown in the attached spreadsheet
Given that,
Present value = $725
Assuming figure - Future value or Face value = $1,000
PMT = 1,000 × 9% ÷ 2 = $45
NPER = 16 years × 2 = 32 years
The formula is shown below:
= Rate(NPER;PMT;-PV;FV;type)
The present value come in negative
So, after solving this, the yield to maturity is 6.58% × 2 = 13.16%