Answer:
Preferred dividend = $8,000
Common stock dividend = $22,000
Explanation:
The computation of dividend is shown below:-
Preferred dividend = Total shares × Total shares of Noncumulative, nonparticipating, preferred stock outstanding
= $100,000 × 0.08
= $8,000
Common stock dividend = Cash dividend - Preferred dividend
= $30,000 - 8,000
= $22,000
Therefore the Preferred dividend is $8,000 and Common stock dividend is $22,000
Answer:
cost of equity = 13%
Explanation:
With the info given, we will use cost of equity formula from Dividend Growth Model. THis is given by:
![k_e=\frac{D_1}{P_0}+g](https://tex.z-dn.net/?f=k_e%3D%5Cfrac%7BD_1%7D%7BP_0%7D%2Bg)
Where D_1 is the next year dividend or D_1 = D_0(1+g)
P_0 is current stock price
g is the growth rate
Since D_0 (dividend this year) is 4.20 and g = 6.4% or 0.064, we can calculate D_1:
![D_1=D_0(1+g)=4.2(1+0.064)=4.47](https://tex.z-dn.net/?f=D_1%3DD_0%281%2Bg%29%3D4.2%281%2B0.064%29%3D4.47)
Current share price is 68, so we can now calculate cost of equity:
![k_e=\frac{4.47}{68}+0.064=0.13](https://tex.z-dn.net/?f=k_e%3D%5Cfrac%7B4.47%7D%7B68%7D%2B0.064%3D0.13)
Hence,
cost of equity = 13%
Answer: I think that ones the answer too
The answer is recency. This part of the RFM model. It is a marketing investigation tool used to classify a firm's best customers by calculating definite factors.
The RFM model is founded on three quantitative factors which are:
Recency - How recently a customer has made an acquisition or purchase of productFrequency – How frequent or often a customer makes a purchaseMonetary Value - How much cash a customer spends on purchases
RFM analysis often sustains the marketing saying that "80% of business comes from 20% of the customers."