Answer:
We know the company's ROE and plowback ratio, and we can use these 2 figures to find out the future growth rate of the company. In order to do this we need to multiply the ROE by plowback ratio.
0.18*0.7=0.126= 12.6%
We can also find the company's dividend, by (1- plowback ratio) we get how much percentage of the earning is the company distributing as dividends.
(1-0.7)= 0.3 which is the dividend payout ratio
Dividend= Dividend payout ratio *EPS
0.3*6=1.8
This dividend is the dividend which the company will pay in the upcoming year after which they will have a constant growth rate, so in order to find the intrinisc value now, we need to find the intrinsic value of the stock will be in the upcoming year using the upcoming years dividend and then discount that value by the required return of the stock to get the current years intrinsic value.
Now we can use the DDM formula to find the intrinsic value of the stock in the upcoming year.
The formula for DDM is D*(1+G)/(R-G)
D= 1.8
G= 0.126
R=0.14
1.8*(1+G)/0.14-0.126
=144.77
Discount it to find the present value
144.77/1.14
=128.5
The intrinsic value of the stock should be 128.5
Explanation:
Answer:Their key use is to discover and reinforce affiliations, identify experts, message individuals or groups, and virally share media.
Explanation:Social networks are networks that imbibe or encourage sharing media while developing strong interactive sessions over time.
Electronic social networks help different users of a particular network maintain contacts, discover and discuss a common topic, share updates and encourage diversity.
Social networks supports messaging services either private or public/ group discussions.
Websites for social networking and microblogging form the atmosphere through which users are able to create groups online to share information and ideas,then Social Networking helps to create and maintain a balance of personal and general discussions in the network space.
Answer:
The value of the firm is $16,949
Explanation:
Value of the firm is the firm's economic value at a particular time. Winter Wear Company's value will be calculated by:
= 
+ (Tax rate * Debt) =
Here given are,
EBIT = $3,800
Tax Rate = 35%
Unlevered Cost of Capital = 15.4%
Debt = $2,600
= 
+ (0.35 x $2,600)
= $16,039 + $ 910
= $16,949
Answer:
visibility.
Explanation:
In this scenario, Josh is a technological expert who has carved a niche for himself in working with advanced broadband systems. Thus, Josh is one of the most high-profile figures due to his expertise at his work at Takemodo Telecommunications, one of the world’s leading technology companies.
Josh has his picture on the cover of magazines and his name popping up in several blogs all over the Internet.
This ultimately implies that, Josh has a high degree of visibility, which gives him influence over others.
Visibility simply means being famous and well known to many people across the world on several communication and media channels.
Answer:
Part 1.
The negotiable range for the transfer price is between is $6 to $18 as the Netting division will incur loss if it sells its product below its variable cost whereas the maximum price it can transfer the product to Basketball equipment department is equal to the selling price that is $18.
Therefore, negotiable range is between for the transfer price is $6 to $18.
Part 2.
The minimum transfer price the Netting division should consider if at operating capacity is $18.
If they are at below capacity, the minimum transfer price would be $6.
Part 3.
The maximum transfer price the basketball equipment division should consider must be equal to the price outside vendors are charging for the same quality product that is $15.
Therefore, the maximum transfer price the Basketball Equipment Division should consider is $15.
