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Dmitry_Shevchenko [17]
3 years ago
12

You are trying to value the common stock shares BeGood Company using a market multiples approach. Begone just reported annual ea

rnings of $1.74 per share. BeGood is a privately held corporation and has three main publicly traded competitors. Below, the most recent price/earnings multiples are presented for each competitor: Competitor P/E Multiple
BeSafe 11.20
Y-Not 13.25
R-U-Sure 14.88
Based on this information, determine the share price of BeGood. Use the market multiple approach and compute to the second decimal place
Business
1 answer:
lakkis [162]3 years ago
7 0

Answer:

$22.81

Explanation:

We can easily calculate share price for BeeGood company just by multiplying the current earnings per share with an average P/E ration of competitors

P/E = Price earning ratio

EPS = Earning per share

Formula: Share price = PE x EPS

Share price = \frac{(11.2+13.25+14.88)}{3} x $1.74

Share price = $22.81

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Secure property rights promote economic progress because they
weqwewe [10]

Answer:

The correct answer is a. encourage individuals to produce efficiently and undertake productive activities.

Explanation:

The right to property is the legal and immediate power that a person has to enjoy, dispose and revindicate on an object or property, without affecting the rights of others or exceeding the limits imposed by law.

The property right covers all material assets that may be appropriate, useful, of limited existence and that may be occupied.

That is, if a person owns a space of land in which a sweet potato crop grows, therefore he owns the sweet potatoes that are harvested there and can do with them what seems most convenient, that is, sell them, give them away or donate them, always within the framework that limits the law.

6 0
3 years ago
Which of the following explanations argues that the Great Recession resulted from asset-price bubbles caused by euphoria and deb
ASHA 777 [7]

Answer:

Minsky Explanation

Explanation:

Based on the information provided within the question it can be said that the explanation that makes this statement is the Minsky Explanation. Which aside from arguing this, it basically states that reckless speculation is not able to sustain a bullish period and a sudden decline in market sentiment ultimately leads to a market crash every time.

6 0
3 years ago
A company should accrue a loss contingency only if the likelihood that a liability has been incurred is:At least reasonably poss
Fittoniya [83]

Answer:

The answer is: Probable and the amount of the loss can be reasonably estimated.

Explanation:

Losses should be recorded as soon as possible (conservatism principle) as long as they are probable and can be reasonably estimated. A loss doesn't have to occur to be recorded, that is why they are recorded as contingency losses. If the company finds it probable that a loss will happen but can't estimate it, then it can't record it as a contingency loss.  

3 0
4 years ago
Role of national government in preserving marketplace competition:
navik [9.2K]
The answer is regulator
3 0
3 years ago
Use the following information a. Beginning cash balance on March 1, $72,000.b. Cash receipts from sales, $300,000.c. Budgeted ca
mrs_skeptik [129]

Answer:

Ending cash                      87,000

Explanation:

beginning                         72,000

receipts                           300,000

disbursement  (140,000)

salaries             (80,000)

other expenses (45,000)

loan payment    (20,000)

Total disbursement         (285,000)

Ending cash                      87,000 (72,000 + 300,000 - 285,000)

3 0
3 years ago
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