Answer: I would have to guess option c the unemployment rate.
Explanation:
Answer:
The cost of equity for Neal Enterprises is 5%
Explanation:
In order to calculate the cost of equity for Neal Enterprises we would have to make the following calculation:
cost of equity=((Do(1+g)/Po)+g
According to givn data we have the following:
Do=$1.20
Po=$36.80
g=2%
cost of equity=((1.20(1+0.02)/36.80-1.20)+0.02
cost of equity=((1.20(1+0.02)/35.60)+0.02
cost of equity=0.05
The cost of equity for Neal Enterprises is 5%
Answer:
6.22%
Explanation:
Price of sandwich four years ago, Present value = $5.49
Price of sandwich, Future value = $6.99
It is given that the inflation has been assumed to be constant over these four years.
Inflation rate refers to the rate at which prices of the good increases from the previous level. In a simple language, if there is a rise in the price of the goods then this economy is experiencing a inflation.
Inflation rate:


= 1.0622487 - 1
= 0.0622487 or 6.22%
Therefore, the inflation rate is 6.22%
Answer:
The cash payments for September are $646000
Explanation:
The cash payments for merchandise are divided into to parts. The previous month's 70% payments and this month's 30% payments. Thus, the cash payments for the month of september will be 70% for AAugust purchases and 30% for september's purchases.
Thus the cash payments for merchandise will be,
Cash Payments = 0.7 * 610000 + 0.3 * 730000 = $646000