Answer: Option(A) is correct.
Explanation:
Earnings before tax = $3.90
Tax rate on dividend payment = 12.5%
Corporate Tax rate = 35%
Shareholder holds = 100,000 shares
Earnings after tax = $3.90 × (1 – 35%)
= $2.535
Valiant Corp retained $1 of after tax earnings for reinvestment,
Therefore,
Value available for dividend payment = $2.535 - $1
= $1.535
After tax dividend received by shareholder for one share = $1.535 × (1 – 12.50%)
= $1.343125
Total dividend received by shareholder = 100,000 × $1.343125
= $134,312.50
Answer:
organizational learning
Explanation:
Organizational learning -
It refers to the method of modifying and transferring new concepts or information , which improves the performance of the company , is referred to as organizational learning .
The method is very beneficial for the company , which includes the methods like increases in production , using innovative methods , betterment of the relation with the investors .
Hence , from the given information of the question ,
The correct term is organizational learning .
Answer:
A)control corporate behavior
Explanation:
Sarbanes-Oxley Act which came up in 2002, can be regarded as Public Company Accounting Reform and Investor Protection Act, is a reform act for public companies and investor protector. Sarbanes-Oxley Act was popped up in U S in order to to get the auditing of public companies fixed. It should be noted that the Sarbanes-Oxley Act was passed in an effort to control corrupt corporate financial behavior.
Answer:
Price of stock = $49.5
Explanation:
<em>The Dividend Valuation Model(DVM) is a technique used to value the worth of an asset. According to this model, the value of an asset is the sum of the present values of the future cash flows would that arise from the asset discounted at the required rate of return. </em>
If dividend is expected to grow at a given rate , the value of a share is calculated using the formula below:
Price of stock=Do (1+g)/(k-g)
Do - dividend in the following year, K- requited rate of return , g- growth rate
DATA:
D0- 2.7
g- 10%
K- 16%
Price of stock = ( 2.7×1.1)/(0.16-0.1) = 49.5
Price of stock = $49.5
The producer will decrease the quantity of bicycle production. In the basic Laws of supply and demand, when price decreases there is an increase of supply. Therefore the decrease of price suggest that there is an increase of supply in the market. Also as the price decreases profitability also decreases.
