The answer is $76.54 Let us use 3 months as our period. Thus, we restate the annual required rate of9.25% as a quarterly (or three-month) rate of = 2.3125% (or 0.023125). Applying the constant dividend model with infinite horizon and with the quarterly rate of return and a quarterly dividend of $1.77, we get: = $76.54<span>.
Price of Preferred Stock = Dividend / required return of rate - growth rate</span>
Answer:
$ 142 375
Explanation:
Thinking process:
Let the composite rate be given by the formula:
where
A = amount after interest
= interest rate
t = time
n = number of times (per year)
Therefore, this gives:
Answer:
The airport should invest a uniform amount of 
$357,958.55
Explanation:
Hi
First of all, we need to know how much will cost the land in five years so we have, 
, that means that the future value of the land will be $2'100,000.
Now we can use 
with 
and 
%, so we have 
Answer:
departmentalization
Explanation:
Departmentalization is defined as the process of grouping various activities according to departments.
Each department tends to specialise in the assigned activity. This method promotes division of labour where a group of people specialise in one activity.
In the given scenario James is restructuring operations around three product lines to increase speed and effectiveness of decision making.
This is departmentalization with a view of increasing process efficiency
