Answer:
The correct choice is C)
The most logical thing to do would be to calculate the value of the stock in 5 years time.
Explanation:
This speaks to ones understanding of dividend growth stock valuation models. These tools are used to establish a fair value for a stock by discounting the present value of its future dividends. A commonly used model is the constant growth dividend discount model.
The formula for the DDM, which assumes constant growth in dividends, is provided below.
P0 = D1/(r-g)
Where,
P0 = intrinsic value of stock
D1 = dividend payment one year from today
r = discount rate
g = growth rate
Identifying the correct answer entails establishing a timeline of the expected cash flows. We are given the following information:
t0 = $0
t1 = $0
t2 = $0
t3 = $0
t4 = $0
t5 = $0.20
t6 = $0.20 * 1.035
Given a rate of return, we could use the constant growth dividend discount model to establish the fair value of the firm at t5 (five years from today). Incidentally, to determine today's value, we'd discount it back another five years.
Based on the information above, we are able to prove that the answer is '5'.
Cheers!
Answer:
The answers are:
A) total output should increase
B) total output should decrease
C) total output should be kept the same
D) total output should be decreased
Explanation:
A) consumers are willing to pay a higher price; the quantity supplied should increase
B) if Marginal cost > Marginal benefit; the quantity supplied should decrease
C) if total surplus is at maximum; the equilibrium point between quantity demanded and quantity supplied will remain the same
D) if the quantity supplied exceeds the quantity demanded; to reach an equilibrium point, the quantity supplied should decrease to match the quantity demanded
The interest rate that commercial banks earn from keeping excess reserves at the Fed is A. IORB.
<h3>What is the IORB?</h3>
The full term is, "Interest on Reserve Balances (IORB)" and it is a rate that is paid by the Fed to banks.
This rate is based on the amount of excess reserves that the bank keeps at the Fed to help with its monetary policy.
Find out more on the Interest on Reserve Balances at brainly.com/question/27962333.
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Answer:
a. multinational
Explanation:
Analyzing the options given:
Multinational: A company that has a presence in more than one country and have a central management but tries to adapt its offering to the local market.
International: Refers to importers and exporters which don't have investments out of their home market.
Global: Companies that have a presence in many markets and they establish a single strategy to market the products in all the countries.
Transnational: Companies that are present in different markets that have a structure that is decentralized with bases and management in different place where it operates.
According to this, the structure that requires a higher level of standardization for global efficiency, and yet it must maintain local responsiveness is a multinational company because these organizations have a main office but they also adapt to each market.
Answer:
Her rate of commission is 2 percent
Explanation:
Commission= $4800
Sale of property = $240,000
Rate of commission = (Commission/ Sale Of Property )* 100
Rate of commission= $ 4800/ $ 240,000 * 100
Rate of commission= 0.02 * 100
Rate of commission= 2%
The above solution can be checked by putting in the values of percent and commission
(Check)
2% of $ 240,000
= (2/100) * $ 240,000
= 2* $2400
= $ 4800
Thus 2 percent of $ 240,00 is equal to $ 4800
