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RideAnS [48]
4 years ago
12

Ginger, Inc., has declared a $6.40 per share dividend. Suppose capital gains are not taxed, but dividends are taxed at 10 percen

t. New IRS regulations require that taxes be withheld at the time the dividend is paid. The company's stock sells for $94.50 per share, and the stock is about to go ex dividend. What do you think the ex-dividend price will be?
Business
1 answer:
saveliy_v [14]4 years ago
3 0

Answer:

$88.74

Explanation:

Ginger incorporation has declared a dividend of $6.40 per share

The dividends are taxed at 10%

= 10/100

= 0.1

The company's stock is sold at $94.50 per share

Therefore, the ex-dividend price can be calculated as follows

Ex-dividend price= Current selling price-dividend(1- tax rate)

= $94.50-$6.40(1-0.10)

= $94.50-$6.40(0.9)

= $94.50-$5.76

= $88.74

Hence the ex-dividend price is $88.74

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Suppose a new standardized test is given to 99 randomly selected​ third-grade students in New Jersey. The sample average score U
IgorLugansk [536]

Answer:

(a) 95% confidence interval for the mean score of all New Jersey third graders is (53.01, 56.99)

(b) 90% confidence interval for the difference in mean scores between lowa and New Jersey is (3.71, 4.29)

Explanation:

Confidence Interval = mean + or - Error margin (E)

(a) New Jersey

mean = 55

sd = 10

n = 99

degree of freedom = n - 1 = 99 - 1 = 98

Confidence level (C) = 95% = 0.95

Significance level = 1 - C = 1 - 0.95 = 0.05 = 5%

t-value corresponding to 98 degrees of freedom and 5% significance level is 1.9846

E = t×sd/√n = 1.9846×10/√99 = 1.99

Lower limit = mean - E = 55 - 1.99 = 53.01

Upper limit = mean + E = 55 + 1.99 = (56.99)

95% confidence interval is between 53.01 and 56.99.

(b) Lowa

mean = 59

sd = 13

n = 198

Difference in mean between Lowa and New Jersey = 59 - 55 = 4

Difference in sd between Lowa and New Jersey = 13 - 10 = 3

degree of freedom = n1 + n2 - 2 = 99 + 198 - 2 = 295

Confidence level = 90%

Significance level = 10%

t-value corresponding to 295 degrees of freedom and 10% confidence interval is 1.65312

E = t×sd/√n = 1.65312×3/√297 = 0.29

Lower limit = mean - E = 4 - 0.29 = 3.71

Upper limit = mean + E = 4 + 0.29 = 4.29

90% confidence interval is between 3.71 and 4.29

5 0
3 years ago
The construction estimator told the storage unit owner that building another section of storage units will likely add 100 more s
Masja [62]

Answer:

a) The marginal benefit is greater than the marginal cost of additional units.

Explanation:

Cost-benefit analysis is the systematic process of wieghing various transactions based on comparism between their benefit and cost.

The rational storage business owner should compare the cost of building another section of storage units to the benefit from 100 renters.

If the additional cost is justified by the benefit then he can go ahead with the construction.

7 0
4 years ago
Read 2 more answers
Alex has allocated his income in such a way that the marginal utility of the last unit of product X he consumes is 40 utils and
sineoko [7]

Answer:

B. $2 per unit

Explanation:

The computation of the price of Y is shown below:

As we know that the condition of the  utility maximization i.e ratio of Marginal utility and the price should be matched and equal for both the goods given in the question

For one good

= Marginal utility ÷ price

=  40 ÷ $5

= 8

And, for the other goods

Marginal utility ÷ price = 8

16 ÷ Price = 8

So, the price is $2 per unit

Hence, the correct option is B.

5 0
3 years ago
What’s the purpose of balancing or monitoring your checking account?
Trava [24]
Making sure you have enough money in your account so as to not bounce a check, also see where and what was paid
4 0
4 years ago
________ is a financial institution owned by investors that focuses on business customers, providing bank accounts along with sp
Virty [35]

Answer:

Commercial bank.

Explanation:

A commercial bank is a financial institution that provides financial services to the public such as offering loan services, accepting deposits, foreign exchange, providing bank accounts. They encourage savings and are good sources of finance to businesses and industry.

3 0
3 years ago
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