Answer:
The correct answer is $55.5.
Explanation:
According to the scenario, the given data are as follows:
Stock Price = $50
Dividend = $2
Equity cost = 15%
So, we can calculate the Price of the stock after 1 year by using following formula:
Stock Price = ( Dividend + Stock price after 1 year) ÷ ( 1 + Equity cost)
By putting the value we get
$50 = ($2 + Stock price after 1 year) ÷ ( 1 + 0.15 )
Stock price after 1 year = [$50 × 1.15] - $2
= $55.5
The ROI percentages
Hope this helps!
A <u>bond</u> represents a long-term debt obligation issued by a corporation or a government.
Debt obligation method a responsibility to make a repayment of cash to any other man or woman, inclusive of debts payable and the responsibilities springing up beneath promissory notes, payments of trade, and bonds;
A collateralized debt responsibility is a sort of based asset-backed safety. at the beginning advanced as contraptions for the company debt markets but after 2002 CDOs have become cars for refinancing mortgage-backed securities.
Month-to-month Debt obligations approach a purchaser's housing charges, along with month-to-month rent or mortgage fee, and required payments below any debt obligations (which includes the patron's month-to-month charge below the mortgage and insurance for the vehicle to be acquired under the mortgage).
Learn more about debt obligation here: brainly.com/question/24157864
#SPJ4
Answer:
Explanation:
C(q) = 100+10q-q^2+(1/3)q^3
To find the firm marginal cost function:
Take the derivative with respect to q
MC = 10 - 2q + q^2
Assuming that the market price is p , then the profit maximising condition is:
MR = MC
p = 10 - 2q + q^2
The short-run supply curve is the marginal cost curve that lies above the average variable cost.
The average variable cost is:
AVC =VC/Q
AVC = (10q-q^2+(1/3)q^3)/Q
AVC = 10 - q + (1/3)*q^2
So, the short-run supply curve is:
SRS = 10 - 2q + q^2 if p > 10 - q + (1/3)*q^2
Answer: decreases
Explanation: The following practice is done by the central bank in the situation of inflation when there is an excess supply of money in the economy.
The central bank tries to decrease the funds by selling the govt bonds to the banks. This results in decrease in funds from banks as they have to buy such bonds from their respective funds.
