Answer:
d. The stock price is expected to be $54 a share one year from now.
Explanation:
Using dividend discount model(DDM), find next year's dividend;
P0 = D1/ (r-g)
50 = D1/(0.14-0.08)
50 = D1/ 0.06
Multiply both sides by 0.06 to solve for D1;
50 *0.06 = D1
3 = D1
Next, year's dividend is $3
Dividend yield = D1/P0;
= 3/ 50 = 0.06 or 6% hence choices A& B are incorrect.
Next year's price; P1 = P0(1+g)
P1 = 50(1.08) = $54 hence choice D is correct
Explanation:
- Q1.Can my eyes capture things within the normal distance?
- Q2. Am I feeling normal without any illness?
Answer for Q1: I would list down things that I could see from normal distance, objects on my left and right and would ask my family member to cross check.
Answer for Q2: Driving with heavy fever, or other illness sometimes make driving difficult. So it risks both passenger and driver's life.
Answer for Q3: I would self check with normal hands-free. I would check one ear at a time.
Answer: B. A federal program aimed at detecting money laundering
Explanation: with rising corruption issues, financing of terrorism and money laundering becoming so prevalent the Know Your Customer program was initiated to help combat these issues. It is a process by which banks obtain personal information about the identity and address of its customers. In this, banks are prevented from being used to service money laundering activities while also enabling them better understand their customers, monitor their financial dealings thus, assisting them in serving their customers better and manage its risks wisely.
Answer:
The entries to record the transactions are given below.
a. Provide music lessons to students for $7,000 cash.
Debit Cash Asset $ 7000
CreditService Revenue income $ 7000
b. Purchase prepaid insurance to protect musical equipment over the next year for $3,000 cash.
Debit Prepaid Insurance equipment Asset $ 3000
Credit Cash Asset $ 3000
c. Purchase musical equipment for $10,000 cash.
Debit Equipment Asset $ 10,000
Credit Cash Asset $ 10,000
d. Obtain a loan from a bank by signing a note for $10,000
Debit Cash Asset $ 10,000
Credit Notes payable $ 10,000
