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Reptile [31]
3 years ago
13

The preferred stock of Dolphin Pools pays an annual dividend of $6.25 a share and sells for $42 a share. The tax rate is 35 perc

ent. What is the firm's cost of preferred stock?
Business
1 answer:
coldgirl [10]3 years ago
8 0

Answer:

kp = Do/Po

Kp = $6.25/$42

kp = 0.1488 = 14.88%

Explanation:  Cost of preferred stock is equal to fixed  dividend paid divided by the current market price. Preference shares are not tax-deductible. Hence, tax will not be considered in our calculation.

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3 years ago
Which of the following tactics might public sector unions use to increase management's cost of disagreeing with the union positi
rjkz [21]

Answer:

D. All the above are legal tactics that the union can use to pressure management to accept the union's position on an issue.

Explanation:

Each and everyone one of the options mentioned above are tactics adopted by the union in pressuring management to accept their position on most of the issues which they have or are arguing about.

5 0
3 years ago
A weekly report for new agents at a vacation sales company is shown in the histogram. A histogram titled Vacation Packages has n
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6 salespersons

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From the histogram:

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5 0
3 years ago
Read 2 more answers
Black Horse deposits $2,000 in cash in his checking account at Bank for the People of West Dakota. The reserve requirement is 25
AfilCa [17]

Answer:

d. $8,000

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Reserve requirement = 25% = 0.25

The money multiplier = 1 /Required reserve

The money multiplier = 1/0.25

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The initial deposits = $2,000

The maximum possible expansion of deposits = Initial deposits * The money multiplier  = $2,000 * 4 = $8,000. Thus, the maximum expansion of the money supply possible from the original deposit is $8,000

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2 years ago
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3 years ago
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