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Yuki888 [10]
4 years ago
6

A firm has net income of $38,000, preferred stock dividends of $10,000, and common stock dividends of $8,000. The firm has 10,00

0 shares of common stock outstanding that sells for $46 a share. What is the price-earnings (PE) ratio?
Business
1 answer:
charle [14.2K]4 years ago
5 0

Answer:

16.43 times

Explanation:

The computation of the price-earnings ratio is shown below:

Price-earnings ratio = (Market price per share) ÷ (Earning per share)

where,

Earning per share is

= (Net income - preferred stock dividends) ÷ (common stock outstanding)

= ($38,000 - $10,000) ÷ (10,000 shares)

= ($28,000) ÷ (10,000 shares)

= $2.8 per share

So, the price earning ratio would be

= ($46) ÷ ($2.8)

= 16.43 times

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Answer: C. sales promotion

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Coupons are a type of discount as shown in the question that allow for customers to receive discounts on purchased goods if they have said coupons. As they are a discount and are meant to increase sales, they are a method of Sales Promotion.

8 0
4 years ago
Suppose Renee Beaver can prove that she did not actually sign an exculpatory clause and this fact convinces race organizers to p
tatyana61 [14]

Answer:

See explanation below.

Explanation: At common law, minors are allowed to enter into contracts, never minding their provisions. The validity of the contract and its' individual provisions themselves, may or may not be enforceable depending on many other factors.

Therefore, exculpatory clauses are generally not favored by courts and when they are upheld, they are construed strictly against those attempting to invoke them.

Beaver attempted to disaffirm the contract in what is assumed to be a reasonable time by her action of filing suit against the operator. However, most states only permit a minor to disaffirm a contract in its' entirety.

some courts refuse to allow minors to disaffirm fully performed contracts unless they can return all consideration received; and some courts permit disaffirmance but subject the minor to tort liability for his or her misrepresentation.

Also, the court could conclude that Beaver did in fact implicitly accept its terms. However, when a minor enters into a contract, she or he may only accept the terms of the previously unenforceable contract if they do so within a reasonable time after they reach the age of majority. Beaver's filing of a lawsuit against the operator likely constitutes an action intending to implicitly disaffirm the terms, the absence of which is required to affirm a contract by a minor.

8 0
4 years ago
Jeremy is a business student at ABC University. He is currently enrolled for 18 credits, mostly of quantitative courses with hig
kenny6666 [7]

Answer: work overload

Explanation:

From the question, we are informed that Jeremy is a business student at ABC University and that he is currently enrolled for 18 credits, mostly of quantitative courses with high workloads.

We are further told that he also works 25 hours a week as a bartender. This shows that Jeremy has many works he's doing and the likely cause of his stress is work overload. He's performing too much tasks.

5 0
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The D.J. Masson Corporation needs to raise $400,000 for 1 year to supply working capital to a new store. Masson buys from its su
Stels [109]

Answer:

67.44%

Explanation:

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Annualized rate = (Discount percentage ÷ 100 - Discount percentage) × 365 ÷ (credit period - discount period)

(3% ÷ (100% - 75) × (365 ÷ (75 - 10))

= (3% ÷ 25) × (365 ÷ (75 - 10))

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= 67.44%

Therefore for computing the annualized rate we simply applied the above formula.

8 0
3 years ago
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stellarik [79]

Answer:

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3 0
3 years ago
Read 2 more answers
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