Answer:
The maximum price that should be paid for one share of this stock today is $46.86
Explanation:
Using the dividend discount model, we can calculate the price/fair value of the stock today. The DDM bases the price of the stock on the present value of the expected future inflows from the stock in the form of dividends and terminal value. The discount rate used to discount the cash flows is the cost of equity or required rate of return on stock.
The price of this stock at time zero (t=0) will be,
Prcie = 2 / (1+0.08) + 2.5 / (1+0.08)^2 + 50 / (1+0.08)^2
Price = $46.86
Answer:
prepaid subscrption ending balance
2009 11,610
2010 6,460
2011 1,290
Explanation:
15,480 / 36 months = 430 per month
December 31th Adjustment:
430 x 9 months (from March 31,2009 to December 31,2009)
received magazinesfor $ 3,870
balance: 15,480 - 3,870 = 11,610
Decmeber 31th 2010
430 x 12 months = 5,160
balance 11,610 - 5,160 = 6,450
2011 adjustment
again for 12 months: 5,160
6,450 - 5,160 = 1,290
Answer:
American chocolate
Explanation:
In the field of psychology, a 'stereotype' is defined as a general belief about a certain type or category of people.
The consumers around the world have some different stereotypes about some specific countries and some specific products that they judged to be the 'best'. Such an item which does not fit best in the stereotype scheme is 'American chocolate.'
The American chocolate have a different taste than others. It is tangy and is slightly sour. It is lighter. So some people have a different perception or stereotype for this item.
Thus the answer is 'American chocolate.'
The answer for this question has to be a
The convertible stock's yearly preferred dividend should be reinstated.
<h3>What is the stock price?</h3>
A share price is the price of a single share of a company's salable equity shares. In layman's terms, the stock price is the largest amount of money someone is willing to pay for the stock or the lowest amount for which it can be purchased.
Diluted earnings per share (EPS) is calculated by taking a company's net income, deducting any preferred dividends, and dividing the result by the weighted average number of outstanding shares plus dilutive shares (convertible preferred shares, options, warrants, and other dilutive securities).
Therefore, The stock's yearly preferred dividend should be reinstated.
Learn more about stock prices here:
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