<u>Calculation of Bvi corporation's payout ratio for 2014:</u>
The formula to calculate the Payout ratio is as follows:
Payout Ratio = (Total Divided Paid / Net Income)*100
Bvi corporation's payout ratio for 2014 can be calculated as follows:
Payout Ratio = (Total Divided Paid / Net Income)*100
= (400000/1600000)*100
= 0.25*100
=25%
Hence, Bvi corporation's payout ratio for 2014 is <u>25%</u>
Answer:
See explanation
Explanation:
The correct choice is not available : Net Income is $511,000
We determined this as follows :
<u>Income Statement for the ended December 31</u><u> </u>
Sales $1,323,000
Less Cost of Sales
Opening Finished Goods Inventory $55,000
Add Cost of goods manufactured $559,000
Less Ending Finished Goods Inventory ($60,000) ($554,000)
Gross Profit $769,000
Less Expenses
Operating expenses ($258,000)
Net Income $511,000
Lo siento necesito los puntos, suerte
Answer:
310,588.5
Explanation:
As is not said we can assume the 2,100 each year to be paid at the end of the year, and the 7% to be used as a compunded anually rate. So let´s first think just about the 2,100, as they are regulary payments, they can be seen as an anuity inmediate, the formula is as follows:
where sn is the future value of the regular payments, i is the interest rate and n is the number of payments and p is the amount of regular payment so in this particular case we have:
=198,367.65
So now let´s think on the gift of 29,000 as it is paid on 10 years, there will remain 20 years with an investment rate of 7% compounded anually. so there we have the classic formula of future value
where FV is the future value, PV is the present value, i is the interest rate per period, and n is the number of periods. Again in this particular case we have:
so the total amont will be:
total=198,367.65+112,220.85
total=310,588.5
Answer:
Price per share of preference share = $25
Explanation:
Preference dividend is generally fixed, and does not change as there is a standard rate prescribed at the time of issue of preference shares.
Provided here is, dividend for preference shares = $2
Expected return each year = 8%
Expected growth = 0%
Thus, cost or price per share of preference stock = Dividend/Expected Return = $2/8% = $25 each share.