Answer:
Option (a) is correct.
Explanation:
Given that,
Dividend pay in year 7, D7 = $2 per share
Growth rate of dividend, g = 2.2 percent per year
Required return, ke = 16 percent
Present value of the future dividend at year 6:
= D7 ÷ (ke - g)
= $2 ÷ (0.16 - 0.022)
= $14.49
Therefore, the present value of dividend now is as follows;
= Present value of the future dividend at year 6 × (1 + ke)^{-6}
= $14.49 × (1 + 0.16)^{-6}
= $5.95
Answer:
Larry spends half his time on each activity, while Moe only washes cars and Curly only mows lawns. Then lawns will be mowed and cars will be washed
Explanation:
In a hour :
Larry can ; wash 1 car or mow 1 lawn
Moe can ; mow 1 lawn or wash 2 cars
Curly can ; mow 2 lawns or wash 1 car
The inefficient scenario is Larry spends half his time on each activity, while Moe only washes cars and Curly only mows lawns. Then lawns will be mowed and cars will be washed. this is because Larry can either wash 1 car or mow 1 lawn every hour and if Moe only washes cars and Curly only mows Lawns there will still be Cars and Lawns left to be washed and Mowed since Larry does not work at full capacity like Moe and Curly who could wash 2 cars or mow 2 lawns every hour
Answer:
The correct answer is (B)
Explanation:
There are various advantages of fixed inventory stock. The fixed-period stock and inventory framework requires more safety stock than a fixed-amount framework. A stock out can happen during the audit time just as during the lead time. A significant advantage of fixed period stock is that, there is no physical check of stock when products are withdrawn.It helps to save time and money.
Answer:
Ending inventory= $144,150
Explanation:
Giving the following information:
Beginning inventory consisted of 7200 units that cost $14.00 each.
Purchase:
3000 units at $15.00 each
12,200 units at $15.50 each.
Vaughn also sold 13,100 units during the month.
<u>To calculate the ending inventory using the FIFO (first-in, first-out) method, we need to use the cost of the lasts units incorporated into inventory:</u>
Ending inventory= 9,300*15.5
Ending inventory= $144,150
