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gladu [14]
3 years ago
11

Your broker has recommended that you purchase stock in Alacan, Inc. She estimates that the 1-year target price is $63.00, and Al

acan consistently pays an annual dividend of $7.00. Based on your analysis, you estimate that the stock has a required rate of 15.00%. What is the intrinsic value of this stock?
Business
1 answer:
Bogdan [553]3 years ago
3 0

Answer:

$60.87

Explanation:

You can solve this question using time value of money concept. Since this is a  dividend paying stock, the recurring dividends are annuities, next year's price is the future value, total duration is 1 year. Use these to calculate the current price; PV

Total duration; N = 1

Interest rate per year ; I/Y = 15%

Future value; FV = 63

Recurring dividend payment; PMT = 7

then compute the present value; CPT PV = 60.87

Therefore, the intrinsic value of this stock is $60.87

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Which of the following is NOT positively associated with transformational leadership, according to research?
HACTEHA [7]

The correct answer is (c) lower levels of internal competition

Transformational leadership can be defined as a leadership approach that causes a change in individual and its social systems. Its main goal is to change an individual in a positive way so that it changes a follower into a leader. The competition at lower levels will increase if an individual will become leader from a follower. If there will be lower levels of internal competition, this is not positively associated with transformational leadership.




3 0
3 years ago
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Which marketing philosophy could most help a company outperform its competitors in today's marketplace?
Vlad1618 [11]

The  marketing philosophy that  could most help a company outperform its competitors in today's marketplace is  Market Orientation.

<h3>What is Market Orientation?</h3>

Market orientation  can be described as the  approach to business  which help in the prioritizing as well as identifying the needs as well as the  desires of consumers and  brought about the  products and services that satisfy them.

Therefore, The  marketing philosophy that  could most help a company outperform its competitors in today's marketplace is  Market Orientation.

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7 0
2 years ago
The size and cut of a diamond allows people looking at a ring to roughly estimate its cost and make a judgment about the wearer'
Sholpan [36]

The answer is the Status symbol.

A status symbol is typically an object meant to symbolize the high social and financial position of its owner.

Status symbols frequently vary as a culture and its ideals evolve.

Different status symbols may also be dictated by one's line of work, and some uniform designs may be interpreted as status symbols.

Status symbols in capitalist society are frequently connected to material prosperity. Status symbols might alter depending on where they are used.

For instance, a physical scar may signify honor or bravery in cultures where warriors are revered, becoming a status symbol.

Hence, in the given scenario where the size and cut of a diamond allow people looking at a ring to roughly estimate its cost and make a judgment about the wearer's economic status. A diamond is a status symbol.

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5 0
2 years ago
If Company A has a shareholders' deficit, which of the following can it do to improve its debt-to-equity ratio?
sertanlavr [38]

Answer:

sell off part of its inventory and or equipment

Explanation:

Debt/Equity=  

Total Shareholders’ Equity /

Total Liabilities

​  

​

6 0
3 years ago
Rylan Corporation received an offer from an exporter for 25,000 units of product at $16 per unit. The acceptance of the offer wi
hammer [34]

Answer: a.$275,000

Explanation:

Let us assume local production sales of 0 for simplicity of analysis.

At 0 there will be no Variable Costs and no fixed costs because they are dependant on the amount of units produced.

If then Rylan Corporation receives 25,000 units at $16 per unit this will change the Variable costs as it will have to incorporate the new units.

The question however says that normal production continues. This means that Fixed costs do not change. That means fixed costs remain at $0.

That means the only change will be the Variable costs of selling 25,000 units.

At a rate of $11 per unit we then have,

= 11 * 25,000

= $275,000

The costs have increased by $275,000 from 0 which means that $275,000 is the Incremental cost.

Note that Fixed and Variable costs of 0 are improbable and we're only used for simpler analysis. Feel free to try the question with other number of units for your own practice. You will arrive at the same answer regardless.

8 0
3 years ago
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