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Whitepunk [10]
2 years ago
7

Kelly Enterprises' stock currently sells for $35.25 per share. The dividend is projected to increase at a constant rate of 4.75%

per year. The required rate of return on the stock, rs, is 11.50%. What is the stock's expected price 5 years from now?a. $40.17b. $41.20c. $42.26d. $43.34e. $44.46
Business
1 answer:
Kitty [74]2 years ago
5 0

Answer:

The answer is option e. $44.46

Explanation:

The stock's  expected price after 5 years can be expressed as;

FV=CV(1+RRR)^n

where;

FV=future value of stock/expected price after 5 years

CV=current price of stock

DGR=dividend growth rate

n=number of years

In our case;

FV=unknown

CV=$35.25 per share

DGW=4.75%=4.75/100=0.0475

n=5 years

replacing;

FV=35.25(1+0.0475)^5

FV=35.25(1.0475)^5

FV=44.46

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tresset_1 [31]

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The banking reforms made in the 20th century in the United States are many, and many of these reforms are still applicable today.

Some of the lasting effects of these reforms include the following:

The Board of Governors to determine the monetary policy.

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The reforms also separate commercial banks from investment banks.

Hence, in this case, it is concluded that the many banking reforms made in the 20th century still exist today.

Learn more here: brainly.com/question/12008240

7 0
2 years ago
Your cousin has asked you to bankroll his proposed business painting houses in the summer. He plans to operate the business for
Sonbull [250]

Answer:

the annual rate of return is 15.24%

Explanation:

The computation of the annual rate of return is shown below:

Given that

NPER = 5

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PMT = $4,500

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The formula is shown below:

= RATE(NPER,PMT,-PV,FV,TYPE)

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6 0
3 years ago
Who is the Father of accounting
vovangra [49]

Answer:

Luca Pacioli

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5 0
2 years ago
__________aggregate customers' opinions related to products or services that they have purchased and then suggest them to others
Rudik [331]

Answer:

Recommendation websites

Explanation:

Recommendation websites aggregate customers' opinions related to products or services that they have purchased and then suggest them to others with the same interest.

These websites make use of customer data based on what they have purchased in the past (product or service) to present to them new/similar products.

6 0
2 years ago
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KATRIN_1 [288]

Answer:

1. hire

2. charges

3. get

4. support

5. mentioned

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5 0
2 years ago
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