Financial managers should strive to maximize the current value per share of the existing stock because they have been hired to represent the interests of the shareholders.
Financial managers
- The management team of a corporation includes financial managers. To continue operating and turning a profit, they must make sure the company's finances are in order.
- Because they have been recruited to represent the interests of the shareholders, financial managers should work to maximise the current value per share of the company's existing stock.
- The wealth of shareholders should be the primary objective of financial management. Investors in a corporation put their own money into it, thus they are expecting a certain return. When the value of the company's shares rises, the return might be realised.
- When stock prices rise, the value of the entire business rises as well, boosting the wealth of the shareholders. Consequently, financial managers should constantly work to Because they work for the company's owners and it is what the owners expect of them, they must maximise the present price per share of stock.
To know more about Financial managers visit:
brainly.com/question/18915851
#SPJ4
If one expects the market rate of return to increase across the board on all equity securities, then one should also expect an increase in all stock values.
<h3>Dividend Growth Model</h3>
- Investors can use the dividend growth model, a mathematical technique, to calculate a realistic fair value for a company's stock based on its present payout and anticipated dividend growth in the future.
- The fair value of a company is determined using a valuation method known as the dividend growth model, which makes the assumption that dividend growth will either be constant through time or will vary depending on the current period.
- The dividend growth model has the benefit of offering a straightforward approach to assessing a stock's fundamental worth. Investors are able to contrast the prices of stocks issued by businesses in various industries.
- All stock values should rise if one anticipates an increase in the market rate of return for all equity assets as a whole.
To know more about Dividend Growth Model refer to:
brainly.com/question/18650705
#SPJ4
Answer:
D)reducing its need to be self-sufficient,
Explanation:
Specialisation by a country's economy means that it produces only the specialised goods & even export it, import the other goods.
It decreases opportunity costs, decreases cost of voluntary exchanges. Higher level of specialisation implies there is increased labor force division.
However, it reduces need of country to be self sufficient. As, it can gainfully trade its specialised goods for other goods (in which other economy specialises).
<u>Answer:</u>
<em>Install safety devices in offices and factories. Check for hazards and determine ways to remove or reduce them.</em>
<u>Explanation:</u>
The safety and health engineer of a company is very important as the workers safety is important for the working environment and efficiency of the labours.
The safety and health engineer should install safety devices in offices and factories. He should check for hazards and determine ways to remove or reduce them.
Answer:
$3,270
Explanation:
The perpetual LIFO inventory costing method is one in which adjustments are made to the balance of inventory for every item issued or received in a sequence of last in first out.
Given that 10 units at $120 6 units February: 20 units at $125 5 units May: 15 units at $130 9 units September: 12 units at $135 8 units November: 10 units at $140 13 units On December 31, there were 26 units remaining in ending inventory.
The net inventory units = 10 - 6 + 20 - 5 + 15 - 9 + 12 - 8 + 10 - 13
= 26 units
Since
January reminder (in value) = 10 - 6 ) $120 = $480
February remainder (in value) = (20 - 5) $125 = $1,875
May remainder = (15 - 9) $130 = $780
September = 12 - 8) $135 = $540
In November 10 items were purchased but 13 were sold.The makeup of the items sold are the 10 purchased in the month and 3 out of the remaining 4 items left off from September. Hence the balance for September will be
=$135
Cost of ending inventory
= $480 + $1,875 + $780 + $135
= $3,270