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worty [1.4K]
4 years ago
13

Trend-Line Inc. has been growing at a rate of 6% per year and is expected to continue to do so indefinitely. The next dividend i

s expected to be $5 per share. a. If the market expects a 10% rate of return on Trend-Line, at what price must it be selling? (Do not round intermediate calculations.) b. If Trend-Line’s earnings per share will be $8 next year, what part of its value is due to assets in place? (Do not round intermediate calculations.) c. If Trend-Line’s earnings per share will be $8 next year, what part of its value is due to growth opportunities? (Do not round intermediate calculations.)
Business
1 answer:
vodka [1.7K]4 years ago
3 0

Answer:

a. $125

b. $80

c. $45

Explanation:

a. If the market expects a 10% rate of return on Trend-Line, at what price must it be selling? (Do not round intermediate calculations.)

Current selling price = Next dividend / (Rate of return - Growth rate) = $5 / (10% - 6%) = $125.

b. If Trend-Line’s earnings per share will be $8 next year, what part of its value is due to assets in place? (Do not round intermediate calculations.)

The value due to assets in place = Next year earning per share / Market rate of return = $8/10% = $80.

c. If Trend-Line’s earnings per share will be $8 next year, what part of its value is due to growth opportunities? (Do not round intermediate calculations.)

The value due to growth opportunities = Current selling price - The value due to assets in place = $125 - $80 = $45.

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Answer:

The answer is (b) 47.77 inches

Explanation:

The first quartile is the 25th percentile, which is where 25% of the data falls. Since the data is normally distributed, we will use the formula

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First step is to look up the z-value of 25% = 0.25 in the standard normal table. z-value of 0.25 ≈ -0.67.

Therefore, the height that represent the first quartile is given as height = z*sd + mean = (-0.67) (3.15) + 49.9 = 47.77.

5 0
3 years ago
To join together against and have nothing to do with a person, business, nation, employer, or anything else in order to coerce o
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Answer:

boycott.

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Boycott -

It refers to the practice of intentionally not using or stop to using certain products of some specific company , country or person , is referred to as boycott .

The step is also considered to be the part of any protest against any social issue .

If the sme step is done on a national level , it is referred to as sanction .

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The correct answer is boycott .

5 0
3 years ago
Gus receives a paycheck at the end of every week. Which reinforcement schedule is this?.
sweet [91]

Fixed-interval schedule, Gus gets paid every week at the end of the workweek.

What is reinforcement schedule?

A "reinforcement schedule" is essentially a guideline that specifies which behaviors will be rewarded. Fixed-Ratio, Fixed Interval, Variable-Ratio, and Variable-Interval schedules are among the four categories.

Reinforcement becomes accessible according to a fixed-interval schedule after a predetermined amount of time.

This schedule results in higher response levels at the end of the interval but lower response levels just after the reinforcer is given.

As a result, in this case reinforcement schedule is fixed interval schedule.

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6 0
2 years ago
What happens if you're not home to sign for a package?
posledela
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4 years ago
Blue Spruce Company had $152,800 of net income in 2016 when the selling price per unit was $152, the variable costs per unit wer
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Answer:

The number of units sold in 2016 is 12,058 units

Explanation:

The number of units sold in the year 2016 is simply the total revenue in 2016 divided by selling price per unit.

Total revenue =net income+total variable cost+total fixed cost

net income for 2016 is $152,800

assuming X units were sold

total variable cost =$92*X

fIxed cost =$570,700

total revenue=$152*X

152X=152800+92X+570700

152X-92X=152800+570700

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Alternatively, the number of units sold is total contribution divided by contribution per unit

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