Answer:
C. an increase in earnings of $0.20 per share, with no change in the multiple, would result in a market price increase of $2.40 per share.
Explanation:
The P/E ratio (also sometimes called "the multiple") is simply the current price per share divided by the earnings per share. (Price / Earnings = P/E) If you multiply both sides of that equation by Earnings, you get Price = P/E * Earnings.
So if you have P/E = 12 and Earnings = $2.50/share, the price would be 12 * 2.50/share = $30/share. That means a) and b) are both wrong.
It also means that 12 times the change in earnings will tell you the change in price (if the P/E multiple doesn't change). So a 0.20 rise in earnings will raise the stock price by 12 times that amount or $2.40/share. So c) is the correct answer.
Answer:
Option "A" is the correct answer to the following question.
Explanation:
Given:
Keyboard = $100
Outer case = $100
Internal hardware = $100
Sale of computer = $500
Gross domestic production includes the sale of the Produced item but in the gross domestic production cost of the intermediate goods or services will not include.
Only the sale of finished goods will be include.
So, GDP = $500
Answer:
Beckett Co received $ 10.699,65
Explanation:
We have to determnate the balance of the invoice after the returned and the discount granted. We also have to receive the freight from the customer as we prepaid them to refund this amount against the customer:
invoice balance:
11,700 nominal less 1,350 return = 10,350
discount granted: 10,350 x 1% = (10.35)
freight refund <u> 360 </u>
total cash proceeds: 10.699,65
Answer:
B)Unqualified applicants will need explanations about why they did not get the job.
Explanation:
From the question we are informed Auto parts manufacturer JEG Inc. who has a number of vacancies at lower management levels and wants to fill the positions from within the company itself rather than recruit externally. The company plans to e-mail the job specifications to all employees and post the jobs on the company Web site. In this case, what could weaken the company's decision, is that Unqualified applicants will need explanations about why they did not get the job.
