Answer:
The correct answer is $255,000.
Explanation:
According to the scenario, the given data are as follows:
Total outstanding shares = 510,000
Shares value before = $3.10
Shares value after deal = $3.60
So, we can calculate the amount of gain on disposal by using following formula:
Gain amount on disposal = Total number of shares × Difference in share value
By putting the value, we get
= 510,000 × ( $3.60 - $3.10)
= 510,000 × $0.50
= $255,000
1. 110
2. 75
Won 110
Lost 35.
I tried my best sorry if it wrong.
Answer:
e) $37.05
Explanation:
Using the dividend growth model, the value of a stock is the present value of the future dividends receivable discounted at the required rate of return . The required rate of return is given as 12%.
So we discount the year 3 dividend using the dividend growth model formula
P = D (1+g)/r-g
r- rate of return, g = growth rate
Present value of the future dividends:
PV of Year 1 = 1.55(1.015)m × 1.12^(-1)
= 1.4047
PV of Year 2 = 1.55 (1.015)(1.015) × 1.12^(-2)
= 1.27
PV of Year 3 (this will be done in two steps)
Step 1; PV (in yr 2) of year 3 dividend
= (1.55)(1.015)^2×(1.08)/(0.12-0.08)
=43.114
Step 2 : PV (in yr 2) of year 3 dividend
=43.114 × (1.12^(-2))
= 34.37
Best estimate of stock = 1.40 + 1.27 +34.37
= $37.05
Note
To discount the year 3 dividend, we use two steps. The first stp helps get the PV in year 2, and step 3 helps to take it further to the PV in year 0
Answer:
Wyatt
Explanation:
High outcome interpendence is a concept that encourages cooperation between members on a team. It shows that if a team wins all members will benefit, and if the team fails all members will be adversely affected.
In this scenario Wyatt who is a slacker in the team of Nick will stand to gain more.
In a high outcome interpendence scenario Nick will be forced to improve on the performance of Wyatt in order to meet team objectives.
The other average workers will only gain a little from increased cooperation.
Answer:
B. Holly's statement is normative, but Ben's is positive.
Explanation:
Positive statements are based on objective deduction of what is, or was. It is based on facts. Ben's comment "an increase in the tax on beer will raise its price", is an example of positive statement.
Normative statements are subjective and based on individual values and judgement. In her statement Holly appears to be biased against drinking much. She says "taxes should be increased on beer because college students drink too much." Is a normative statement.
