Answer:
The holding period return is 8%
Explanation:
In this question we need to find the holding period return for the stock, and for that we would need to know what is the stocks current price, what would the stocks price be in one year and how much dividend it will pay during the year. Their last dividend paid was $4 and their dividend is expected to grow at 5% in the future so the dividend paid in the current year would be 4*1.05= 4.2.
To find the current price of the stock we will use the DDM formula
DDM= D*(1+G)/R-G
(4*1.05)/(0.08-0.05)
Price = 140
Now we need to know what the stocks price would be in one year. For that we need to know the previous dividend which is 4.20, the growth rate which is 5% and the required rate of return which is 8%
DDM= (D*(1+G)/R-G
4.2*1.05/0.08-0.05
Price = 147
So now we know the current price, current year dividend and year end price we can calculate the holding period return.
Holding period return = (Dividend +(End of period price-Initial Price))/Initial Price
Dividend = 4.20
End Period Price = 147
Initial Price = 140
Holding period return = 4.20+(147-140)/140
=11.20/140
=0.08
=8%
Well something that is a global trend here is the advancements in technology. This is because it allows business to be done quicker and more efficiently by optimizing time and energy.
Answer:
B. Keynesian
Explanation:
Keynesian economics or theory believes that government can boost the economy and stimulate or increase demand, in times of economic downturn, by increasing spending and lowering taxes.
This increase in government activities will create jobs and reduce unemployment and lead to more spending and investment, by individuals and businesses, in the economy.
Answer:
Trend Analysis helps to interpret the changes in account balances over certain period of time. Trends in percentages is presented in the table below.
* Excel solution is attached for your reference.
Explanation:
For Rotorua Product Ltd, data trends (in percentages) can be computed using the following formula:
Trend in % = (Current Year ÷ Base Year) × 100
where: Base Year is assumed to be Year 1
Year 1 Year 2 Year 3 Year 4 Year 5
Sales 100.0% 107.9% 112.0% 121.0% 127.7%
Current Assets
Cash 100.0% 132.5% 112.6% 90.1% 95.4%
Accounts receivable, net 100.0% 102.9% 107.1% 119.7% 136.8%
Inventory 100.0% 108.3% 104.2% 109.9% 113.6%
Total current assets 100.0% 108.1% 105.6% 111.8% 119.9%
Current liabilities 100.0% 108.5% 103.7% 105.5% 128.0%
Full question :
AdVance Corporation is a company that formulates and manufactures fertilizersfor the farming industry. The company produces several standardized formulas that canbe purchased directly through the retail arms of the company, but it also formulatescustom fertilizers for farms.Which of the following is the best use of a CRM system for an AdVance salesperson interms of relationship strategy?
sending regular e-mails to customers to check on the performance of a previously purchased AdVance fertilizer
determining what information is still needed to complete the customer's file
tracking the salesperson's activities and sales on a weekly and monthly basis
sending e-mails reminding prospects that AdVance can mix custom fertilizer formulations
remembering customers' birthdays to send them cards to maintain a personal connection and request referrals
Answer:
sending regular e-mails to customers to check on the performance of a previously purchased AdVance fertilizer
Explanation:
The most effective use of the CRM(customer relationship management system) from the options listed is the follow up on customers to know how they perceive Advance fertilizer's product after having purchased and used it. This has a long list of benefits for Advance fertilizer as they can get customer feedback from customers through this, build relationship with them as well as gather more data to improve on their products in the future
