This is the process! have a good day!
Answer: Price of stock at year end =$53
Explanation:
we first compute the Expected rate of return using the CAPM FORMULAE that
Expected return =risk-free rate + Beta ( Market return - risk free rate)
Expected return=6% + 1.2 ( 16%-6%)
Expected return= 0.06 + 1.2 (10%)
Expected return=0.06+ 0.12
Expected return=0.18
Using the formulae Po= D1 / R-g to find the growth rate
Where Po= current price of stock at $50
D1= Dividend at $6 at end of year
R = Expected return = 0.18
50= 6/ 0.18-g
50(0.18-g) =6
9-50g=6
50g=9-6
g= 3/50
g=0.06 = 6%
Now that we have gotten the growth rate and expected return, we can now determine the price the investors are expected to sell the stock at the end of year.
Price of stock = D( 1-g) / R-g
= 6( 1+0.06)/ 0.18 -0.06
=6+0.36/0.12
=6.36/0.12= $53
Answer:
d.loss of $30,000
Explanation:
The initial cost of the cage: $310,000.00
Selling price: $ 20,000.00
Depreciation recorded: $260,000.00
calculating book value: (initial cost-Depreciation)
=$310,000-$260,000
Book value =$50,000.00
Profit or loss=selling price- book value.
=$20,000.00- $50,000.00
=($30,000.00)
loss of $ 30,000.00
Answer:
The correct answer to the following question is that the marketing strategy used by Bob's custom millwork is pull strategy.
Explanation:
A pull marketing strategy ( also know as pull promotional strategy ) can be defined as that strategy where a company tries to increase the demand of its products and services and and pull (draw) the consumers towards their products. The main objective of this strategy is to make people or consumer want or seek for your particular product. This strategy can be used independently ( on its own ) or this can be used with push marketing strategy. From the given case of Bob's custom millwork it is quite clear that pull marketing strategy is being used here.
Answer:
It is Control the inventory process (B)
Explanation:
Control the inventory process : Unusual shortage of products on Walmart shelves is an evidence of poor inventory control system.
The deficiencies in the system must be identified and then appropriate corrective control system to address them must be put in place.
A system that prevent stock-out on the shelves must be adopted and its compliance must be enforced.
