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
DedPeter [7]
3 years ago
6

"The next dividend payment by Savitz, Inc., will be $1.60 per share. The dividends are anticipated to maintain a growth rate of

6 percent forever. If the stock currently sells for $30 per share, what is the required return? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)"
Business
1 answer:
Ksivusya [100]3 years ago
3 0

Answer: 11.33%

Explanation:

We will use the constant growth model to calculate the required stick of return. This will be:

R = (D1 / Po) + G

R = ($1.60/$30) + 6%

R = 0.0533 + 0.06

R = 0.1133

R = 11.33%

The required return is 11.33%

You might be interested in
A 14-week construction activity requires a crane that rents for $1,000 per week and a crew of general laborers that costs $5,000
Helen [10]

Answer: C) $2,000 per week.

Explanation:

The slope of the project refers to the additional amount that it would cost to be able to finish the project faster than schedule.

In the question, the construction activity is for 14 weeks at a rate of $5,000 for the laborers per week. If you wanted to reduce this project duration to 10 weeks, you will have to spend an additional $2,000 more per week.

This $2,000 is therefore the slope of the activity.

3 0
3 years ago
Fire insurance policies include deductibles:
stiv31 [10]
1. A im not to sure for this one.... :/ 
2. A  Signaling ; reputation 
5 0
3 years ago
An effective price ceiling is best defined as a price:
Anarel [89]
Imposed by goveement below equilibrium price
4 0
3 years ago
A company has 525 shares of $61 par value preferred stock outstanding. It also has 21,000 shares of common stock outstanding, an
pantera1 [17]

Answer:

$32.6

Explanation:

Please see attachment

7 0
3 years ago
I WILL GIVE BRAINLIEST
Zielflug [23.3K]

Answer:

true...........................

6 0
3 years ago
Read 2 more answers
Other questions:
  • Americans earn more than most others throughout the world.  Why is this?  Is it because we are smarter, stronger, or more physic
    5·2 answers
  • During Year 1, Fox Co. introduced a new product carrying a two-year warranty against defects. The estimated warranty costs relat
    6·1 answer
  • The first thing you must consider in any type of communication is
    6·2 answers
  • How are wages and salaries different from interest and rent income
    9·1 answer
  • At a price $4 for good x, a firm is willing to supply 1,400 units of x. for a price of $5 for good x, the firm is willing to sup
    5·1 answer
  • Clu, Dolf, and Elton do business as Fertile Valley Farm. Clu s relationship to the firm ends, but it continues to do business. T
    11·1 answer
  • If a financial manager focuses on monitoring and influencing the company's current assets and liabilities, he or she is involved
    5·1 answer
  • The manager of a major retail store has taken a random sample of 25 customers. The average sale was $52.50. The population stand
    14·1 answer
  • Bachelor’s degrees are typically earned in _____. a. 1-2 years b. 2-3 years c. 3-4 years d. 4-5 years Please select the best ans
    14·2 answers
  • In evaluating the profit center manager, the income from operations should be compared a.across profit centers b.to historical p
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!