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Andru [333]
3 years ago
8

where an investmenVicky Robb is considering purchasing the common stock of Hawaii Industries, a rapidly growing boat manufacture

r. She finds that the firm’s most recent (2020) annual dividend payment was $2.50 per share. Vicky estimates that these dividends will increase at a 20% annual rate, g1, over the next 3 years (2021, 2022, and 2023) because of the introduction of a hot new boat. At the end of the 3 years (the end of 2023), she expects the firm’s mature product line to result in a slowing of the dividend growth rate to 8% per year, g2, for the foreseeable future. Vicky’s required return, rs, is 15%. Required: What is the current (end-of-2020) value of Hawaii’s common stock, P0 = P2020.t banker plays a crucial role in a public offering?
Mathematics
1 answer:
azamat3 years ago
8 0

Answer:

 

Step-by-step explanation:

present value of dividend for three years =

2.50 x 1.2 / 1.15 + 2.5 x 1.2² / 1.15² + 2.5 x 1.2³ / 1.15³

= 2.6087 + 2.722 + 2.84

= 8.17

present value of future cash flow after three years

= 2.5 x 1.2³ x 1.08 / .15 - .08

66.65

present value

= 66.65 / 1.15³ = 43.823

Total present value = 43.823 + 8.17

= 52 approx .

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AARP reported on a study conducted to learn how long it takes individuals to prepare their federal income tax return (AARP Bulle
Crank

Answer:

Confidence interval: (30.1,36.9)

Step-by-step explanation:

We are given the following data set:

35.3,30.5,37.4,26.5,13.0,49.9,28.8,44.0,61.6,0.5,40.5,34.9,47.9,36.6,24.1,39.8,47.8,18.5,36.6,39.2,14.5,37.3,40.5,49.3,45.5,28.3,19.5,5.6,52.6,41.4,45.3,39.0,33.7,29.4,14.5,40.1,33.7,36.9,5.6,33.7

Formula:

\text{Standard Deviation} = \sqrt{\displaystyle\frac{\sum (x_i -\bar{x})^2}{n-1}}  

where x_i are data points, \bar{x} is the mean and n is the number of observations.  

Mean = \displaystyle\frac{\text{Sum of all observations}}{\text{Total number of observation}}

Mean =\displaystyle\frac{1339.9}{40} = 33.5

S.D = 11(given)

n = 40

Confidence interval:

\mu \pm z_{critical}\frac{\sigma}{\sqrt{n}}

Putting the values, we get,

z_{critical}\text{ at}~\alpha_{0.05} = 1.96

33.5 \pm 1.96(\frac{11}{\sqrt{40}} ) = 6.34 \pm 3.4 = (30.1,36.9)

6 0
3 years ago
Correct answers only pls.
Colt1911 [192]
-1.25 or -1 1/4 that’s because the dot is in between a half and a whole number so one half divided by two is 1/4
7 0
3 years ago
Read 2 more answers
A 10 2/3 inch long pipe is cut into 8 equal length pieces, how long is each piece​
storchak [24]

Answer:

\frac{4}{3} inches

Step-by-step explanation:

The total length of pipe is  10  2/3rd inches

It is cut into 8 equal pieces

We need to divide total length by 8 to get length of each piece. First, we have to convert mixed number (total length) to improper fraction by using formula shown below:

a\frac{b}{c}=\frac{(a*c)+b}{c}

So,

10\frac{2}{3}=\frac{32}{3}

Each piece length is:

\frac{\frac{32}{3}}{8}\\=\frac{32}{3}*\frac{1}{8}\\=\frac{32}{24}\\=\frac{4}{3}

So, each piece is \frac{4}{3} inches

6 0
3 years ago
What percent of 47.9 is 11? ​
dolphi86 [110]

Answer:

about 23% I think

Step-by-step explanation:

I'm not really sure how to get to this though besides just plugging it into your calculator

7 0
3 years ago
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The date of death for a widow was 2019. If the estate was valued at $2,186,000 and the estate was taxed at 40 percent, what was
Airida [17]

Answer:

Value of tax liability will be zero

Step-by-step explanation:

Given:

Total estate value = $2,186,000

Estate tax = 40 %

Find:

Heir's tax liability = ?

Computation:

Total taxable estate = Total estate value - Estate Exemption

Note: According to Exhibit 19-6 for Estate Exemption, Estate Exemption  is 11.4 million.

We know that Estate Exemption  is higher than total estate value, therefore will be no tax liability on the successor, so the value of tax liability will be zero.

7 0
3 years ago
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