Answer:
The required return on the stock is 11.89%.
Explanation:
To calculate this, the Gordon growth model (GGM) formula is used as follows:
P = d1 / (r – g) ……………………………………… (1)
Where;
P = current share price = $77
d1 = next dividend = Recent dividend * (1 + g) = $5.37 * (1 + 0.046) = $5.61702
r = required return = ?
g = dividend constant growth forever = 4.6%, or 0.046
Substituting the values into equation 1) and solve for r, we have:
77 = 5.61702 / (r - 0.046)
77(r - 0.046) = 5.61702
77r - 3.542 = 5.61702
77r = 5.61702 + 3.542
r = 9.15902 / 77
r = 0.1189, or 11.89%
Therefore, the required return on the stock is 11.89%.
The debt to income ratio is 86 percent. This is high so the family should not buy a house.
<h3>The total debt that is owed by this family </h3>
First mortgage = $43,000
Outstanding debts = $12,200
Car loan = $13,700
Second mortgage =$25,700
The total debt that this family is owing is given as
$43,000+ $12,200+$13,700+$25,700
= 94600 dollars
The total income that this family makes is given as $110,000.
The debt to income ratio would be
94600/$110,000.
= 0.86
Therefore the debt to income ratio that this family has is 86%.
Given that their debt to income ratio is high, it is advisable that the family has to stay away from purchasing a new house.
Read more on debt and income ratio here:brainly.com/question/24814852
2+7=9, because your adding seven to two
Answer:
Peer rating
Explanation:
Peer rating or peer review is a type of peer to peer evaluation or appraisal. This type of rating happens when members of a work group rates other group members using a particular rating scale. Employees are to rate their co-workers in peer rating and they provide feedback based on the set assessment criteria since their supervisors do not have the opportunity to carry out the reviews.
Answer:
Shift to right
increase
increase.
Explanation:
Demand curve:- It is a representation of number of units of a service will be bought at which price. It is a graph or plot between price and quantity.price on y-axis and quantity on x-axis.
To bring the equilibrium the the demand curve is needed to shift to right to increase the equilibrium of the price and quantity.