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LekaFEV [45]
3 years ago
12

Round Barn stock has a required return of 11.00% and is expected to pay a dividend of $2.35 next year. Investors expect a growth

rate of 6.00% on the dividends for the foreseeable future. What is the current fair price for the stock?
Business
1 answer:
34kurt3 years ago
7 0

Answer:

$47

Explanation:

Given that,

Required return = 11.00%

Expect a growth rate = 6.00%

Expected to pay a dividend next year = $2.35

Stock Price:

=  Dividends (Div)  ÷  (Expected Return (R)  -  Dividend Growth Rate (G))

= $2.35 ÷ (11% - 6%)

= $2.35 ÷ (5%)

=  $47

Therefore, the current fair price for the stock is $47.

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Keenan owns a retail store. He often receives payments from some of his manufacturers to ensure their products are placed in the
Serjik [45]

Answer: Slotting allowances

Explanation:

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According to the given question, the slotting allowances is refers as the payment that is made by the producers for ensuring their goods and the services best place.  

 Therefore, Slotting allowances is the correct answer.          

3 0
3 years ago
Carla Vista Company has the following information available for September 2020.
dmitriy555 [2]

Answer:

Carla Vista Company has the following information available for September 2020.

Unit selling price of video game consoles $410

Unit variable costs $328

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Units sold 600

Compute the unit contribution margin.

Unit contribution margin enter the unit contribution margin

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Break-even point in units enter Break-even point in units units

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7 0
3 years ago
Which of the following government
tankabanditka [31]
C. bonds

Hope this helps
5 0
2 years ago
edna kropp's gross income for a year included salary, $12,400; commission, $27,750; intrerest, $440. Her adjustment to income we
aliina [53]

Gross income is the total amount of income before any deductions.

In this case, you would add Edna's salary, commission, and earned interest.

For adjusted gross income, you would subtract payment to retirement and withdrawal from the GROSS INCOME you calculated previously

6 0
3 years ago
Richard bought stock for $200 and sold it for $300. The $100 he earned is an example of _____.
Pie
This is an example of dividends. Correct answer is B.
3 0
3 years ago
Read 2 more answers
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