Answer:
Maximum price to be paid for the stock = $12.43
Explanation:
The Dividend Valuation Model is a technique used to value the worth of an asset. According to this model, the worth of an asset is the sum of the present values of its future cash flows discounted at the required rate of return.
<em>Hence the value of the stock would be the present value of its future dividend discounted at 15%</em>
Year PV of dividend
1 8 ×1.15^(-1)
2 4 × 1.15^(-2)
3. 2 × 1.15^(-3)
4 2 × 1.15^(-4)
PV of dividend = (8 ×1.15^-1) + (4 × 1.15^-2) + (2 × 1.15^ -3) + (2× 1.15^-4) = 12.439
Maximum price to be paid for the stock = $12.43
Answer:
The correct answer is letter "B": associated with an ability to find a job with relative ease.
Explanation:
Unemployment is the state in which an individual who is able and willing to join the workforce cannot find a job even if that individual is constantly looking for opportunities.
<em>High unemployment rates are typically seen during recessions while the unemployment of a country tends to be low during economic growth. In the last scenario, mainly private investment helps to find a job to be relatively easy.</em>
Answer:
Stated interest rate
Explanation:
The stated interest rate is the rate of interest in which the value of the cash interest that has to paid on each date of interest
The value of the cash interest paid could be determined by applying the following formula
= Face value of the securities × Stated interest rate
Therefore as per the given situation, the stated interest rate is the answer and the same is to be considered
Answer:
c, I think
Explanation:
because if it is to convince the public to purchase the goods and services, then it would be the production of the goods and services.
Sorry, I don't know if this is correct or not, but I hope this answered your question. Have a nice day! ^ ^