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Kay [80]
3 years ago
7

Can someone help me please it’s urgent I’ll crown brainliest

Business
1 answer:
Masja [62]3 years ago
6 0

hotttttttttttttttttttttt

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Adverse selection occurs in the market for used cars because
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Assume Evco, Inc., has a current price of $50 and will pay a $2 dividend in one year, and its equity cost of capital is 15%. Wha
gtnhenbr [62]

Answer:

The expected price after 1 year would be$55.5

Explanation:

According to the given data,

Price of the stock (Po) = $50

Dividend after 1year (D1) = $2

Equity cost of capital (KE) =15%

The formula for calculating the price after 1 year i.e.,(P1 ) is

                         

                          Po = (D1 + P1 )/ 1+KE                                      $50= ($2 + P1) / (1+0.15)

                        P1 = [$50(1.15)] - $2 = $55.5

6 0
3 years ago
For the year, Redder Company has cost of goods manufactured of $600,000, beginning finished goods inventory of $200,000, and end
nevsk [136]

Answer:

finished cost = $200,000

inventory cost=$250,000

manufactured cost= $600,000

cost of good= beginning inventory+purchase during period cost- ending inventory

$600,000+$200,000-$250,000

$550,000

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Good managers demonstrate commitment to ethical business practices with
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