1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Bad White [126]
3 years ago
7

Santa Klaus Toys just paid a dividend of $3.00 per share. The required return is 11.7 percent and the perpetual dividend growth

rate is 3.9 percent. What price should this stock sell for five years from today?
Business
1 answer:
givi [52]3 years ago
6 0

Answer:

P5=48.3860

Explanation:

Santa Klaus Toys

The Price of the stock 5 years from today will be :

P5=D6/(r-g)=

D0*(1+g)^6/(r-g)

Where

D0 =3

g =3.9%

r=11.7%

Hence:

P5=3*(1+3.9%)^6/(11.7%-3.9%)

P5=3*(1+0.039)^6/(0.117-0.039)

P5=3*(1.039)^6/(0.078)

P5=3.77410/0.078

P5=48.3860

You might be interested in
Advice Florence and her team on how they can convince the staff using john kotter's theory to lead change
shtirl [24]

John Kotter’s theory for leading can help business staffs to improve their performance especially in completing assignments and improving teamwork.  His theory centers on eight steps:

1.       Creating urgency to spur change.

2.       Forming a powerful coalition from people of diverse talents.

3.       Make a vision of change that would inspire and rally your group.

4.       Communicate that vision so that all of you understand what needs to be done.

5.       Remove obstacles that would impede your goals.

6.       Create short-term wins that would help in the short run but will contribute in the long run.

7.       Build on change while the momentum is there.

8.       Anchor that change as a model for others to follow.

4 0
3 years ago
What should you include on a resume?
jeka94

The answer to your question is,

D) Your career objective.

-Mabel <3

7 0
4 years ago
The purpose of this category of interview questions is to learn about the interviewees personal attributes
taurus [48]

The purpose of this category of interview questions is to obtain factual information about the interviewee.

5 0
4 years ago
Read 2 more answers
You borrow money on a self liquidating installment loan (equal payments at the end of each year, each payment is part principal
Schach [20]

Answer:

it to long to read sorry  what is it about now now

Explanation: ask someone else

4 0
3 years ago
If the _______ are not valued as a strength, they can lead to low morale, diminished trust, reduced productivity, greater tensio
Leto [7]

Answer:

differences within the project team

Explanation:

There are usually a lot of differences between people in a project team. This makes the team to be more diversified and if these differences are not are not valued as a strength, they can lead to low morale, diminished trust, reduced productivity, greater tension, and suspicion and become a serious impediment to team performance. The team members are from different cultural groups and there may be issues in sharing knowledge, trust and productivity. If such issues are not tackled on time, they may become greater problems for an organization.

8 0
3 years ago
Other questions:
  • How could Groupon use the concept of customer relationship management (CRM) to establish, develop, and maintain customer sales?
    9·1 answer
  • The article describes many ways you can communicate supportively by being assertive. Consider the following defensive comment "Y
    7·2 answers
  • A 10-year bond of a firm in severe financial distress has a coupon rate of 14% and sells for $900. The firm is currently renegot
    15·1 answer
  • A greenfield venture may be too slow to establish a sizable presence when multiple choice organizationally embedded competencies
    10·1 answer
  • How might a technology company like apple ensure that it behaves in a socially responsible way toward its customers? by protecti
    11·2 answers
  • Use the following scenario to answer the following questions: Babak owns a sports practice facility called Boston Batting Cages
    11·1 answer
  • Taylor devotes a lot of time to his fam and his friends. It is obvious he values ______.​
    13·1 answer
  • _____ normally is the first asset listed on a balance sheet.
    11·1 answer
  • Credit card A offers an introductory APR of 3.4% for the first 3 months and a standard apr of 15.7% thereafter, while credit car
    13·2 answers
  • During the ________ stage, various elements of the marketing mix must be developed for testing such as copyrights, tentative adv
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!