Answer:
The maximum price that should be paid for one share of the company today is $54.895
Explanation:
The price of a stock that pays a dividend that grows at a constant rate forever can be calculated using the constant growth model of Dividend discount model (DDM) approach. The DDM values a stock based on the present value of the expected future dividends. The formula for price today under this model is,
P0 = D1 / r - g
Where,
- D1 is the expected dividend for the next period or D0 * (1+g)
- r is the required rate of return
- g is the growth rate in dividends
SO, the maximum that should be paid for this stock today is:
P0 = 2.2 * (1 + 0.048) / (0.09 - 0.048)
P0 = $54.895 rounded off to $54.90
Answer:
There are 3 main types of tort; intentional tort, negligence tort and strict liability
Explanation:
By definition, a tort is a civil offense against another person. The victim who suffers in that offense can sue for damages, get represented by a lawyer and receive a compensation. There are 3 main types of tort; intentional tort, negligence tort and strict liability. Tort laws are followed when making a decision whether to hold a person legally responsible for the breach against another, and the type of compensation the injured party receives.An intentional tort for example is a civil offense committed when a person engages in intentional conduct that results in damages to another.
Answer:
the amount of increase in the common stock is $75,000
Explanation:
The computation of the amount of increase in the common stock is shown below;
= Number of shares of common stock sold × stated value per share
= 15,000 shares × $5 per share
= $75,000
Hence, the amount of increase in the common stock is $75,000
Answer: $38.03
Explanation:
Based on the information given in the question, dividend for first year will be:
= D1 = $2.19 × 1.15 = $2.5185
D2= $2.5185 × 1.1 = $2.77035
Then, we calculate the value after year 2 which will be:
=(D2 × Growth Rate) / (Required Return-Growth Rate)
=(2.77035 × 1.037) / (0.107-0.037)
=$41.04
Therefore, the stock price today will be:
= (2.5185/1.107) + (2.77035/1.107²) + (41.04)/1.107²
=$38.03
The correct answer is; businesses and anyone who works and pays taxes.
Further Explanation:
Any one who is working in the United States has to pay income taxes. Businesses must also pay income taxes. Income taxes are due each year, generally from January 1st until April 20th.
People can do their own taxes or hire an accountant to do them. There are numerous websites where it is free to file taxes such as Turbotax and H&R Block. If a person has overpaid they are due a refund.
Both businesses and individuals can file for an extension on their taxes.
Learn more about IRS at brainly.com/question/12498230
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