Answer:
Inflation rate= 0.03 = 3%
Explanation:
Giving the following information:
Nominal interest rate= 0.05
Real interest rate= 0.02
<u>To calculate the inflation rate, we need to use the following formula:</u>
Real interest rate= nominal interest rate - inflation rate
Inflation rate= nominal interest rate - real interest rate
Inflation rate= 0.05 - 0.02
Inflation rate= 0.03 = 3%
Answer:
$12.93
Explanation:
First , find the dividend amount per year;
D1 = 4.25
D2,D3,D4,D5, D6 = 0
D3 = 2.2020(1.024) = 2.2548
D7 onwards = 2.35
Next, find the present value of the dividends at 12.6%;
PV (of D1) = 4.25/ 1.126 = 3.7744
PV (of D2 to D6) = 0
PV (of D7 onwards) today = (2.35/0.126) /(1.126^6)
PV (of D7 onwards) today = 18.6508 / 2.0381 = 9.1511
Add the PVs to find price of stock;
= 3.7744 + 0 + 9.1511
= $12.93
True, but could you elaborate on this ?
The answer is false because you can always choose another career.
Answer:
true
Explanation:
It's not essential that you fill out this field, since it isn't required to cash or deposit the check. But entering a memo can help you and the recipient keep clear records.
