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
Annette [7]
3 years ago
11

Torque Corporation is expected to pay a dividend of $1.00 in the upcoming year. Dividends are expected to grow at the rate of 6%

per year. The risk-free rate of return is 5% and the expected return on the market portfolio is 13%. The stock of Torque Corporation has a beta of 1.2. Torque's stock price is
Business
1 answer:
dezoksy [38]3 years ago
7 0

Answer:

The answer is "\$11.62 \ (approx)"

Explanation:

Using formula:

\text{Required return=risk free rate}+\text{beta}\times \text{(market rate-risk free rate)}

=5+(13-5) \times 1.2\\\\=14.6\%\\\\\text{Intrinsic value}=\frac{D_1}{\text{(Required return-Growth rate)}}\\\\= \frac{1}{(0.146-0.06)}\\\\= \frac{1}{(0.140)}\\\\=\$11.62\ (Approx)

You might be interested in
What is the cell membrane? ​
Natasha2012 [34]

Answer:

a cell membrane is a double layer of lipids and proteins that surrounds a cell

6 0
3 years ago
When there are many producers and many consumers in an​ economy, the best way to achieve an efficient allocation of resources is
Charra [1.4K]

Answer:

C. freely operating economy in which all markets are perfectly competitive.

Explanation:

When we have a lot of producers and many consumers in an economy, the best way to achieve an efficient allocation of resources is to have a freely operating economy in which all markets are perfectly competitive.

  • In such a free economy, demand for goods and services are not controlled.
  • The consumers behavior towards purchasing will determine if producers should allocate more resources to a production process or not.
  • It is better to make such market competitive without interfering into how resources are managed and dispensed.
5 0
3 years ago
g Money is best defined as whatever serves society in three functions: medium of exchange, store of value, and unit of account.
worty [1.4K]

Money is best defined as whatever serves society in three functions: medium of exchange, store of value, and unit of account.

Barter is best defined as a situation where two individuals each want some or service that the other can provide.

A double coincidence of wants is a situation where two individuals each want some or service that the other can provide.

<h3>What is money?</h3>

Money is anything that is  accepted by the general public as a means of payment for products and for repayment of debt.

<h3>What are the functions of money?</h3>
  • Medium of exchange : money can exchanged for goods and services.
  • Unit of account : money can be used to determine the value of goods and services
  • Store of value : money can retain its value over the long term.

<h3>What is barter?</h3>

Barter is when people exchange goods with goods. For barter to occur, there has to be a double coincidence of wants. This means that someone has to have what you want and that person wants what you have.

To learn more about money, please check: brainly.com/question/940436

7 0
2 years ago
Destiny Corporation is preparing its statement of cash flows by the indirect method. Destiny has the following items for you to
Semenov [28]

Answer:

O+ a. Increase in accounts payable

F- b. Payment of dividends

O- c. Decrease in accrued liabilities

F+ d. Issuance of common stock

O- e. Gain on sale of building

O+ f. Loss on sale of land

O+ g. Depreciation expense

O- h. Increase in merchandise inventory

O+ i. Decrease in accounts receivable

I- j. Purchase of equipment

Explanation:

The requirement of the question is to indicate whether each of the items is an addition to addition to net income (O+) or subtraction (O-) under operating activities section, investing activity (cash inflow I+), (cash outflow I-),financing activity (cash inflow F+), (cash outflow F-) and activity not used to prepare the cash flows.

All the signs above are correct.

5 0
3 years ago
Explain just in time(JIT) approach?
amm1812
<span> is an inventory </span>strategy<span> companies employ to increase efficiency and decrease waste by receiving goods only as they are needed in the production process, thereby reducing inventory costs.</span>
6 0
3 years ago
Other questions:
  • Given the following information, determine the activity rate for setups. Activity Total Activity-Base Usage Budgeted Activity Co
    13·2 answers
  • It costs $1,200 to produce 50 pounds of a chemical and it costs $2,200 to produce 150 pounds. The chemical sells for $15 per pou
    12·2 answers
  • Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its ave
    13·1 answer
  • HURRY!!!!!!!!! Thank you
    7·1 answer
  • In the Plus-Delta method of evaluating project meetings, the "delta" column is used for team members to offer their opinion abou
    13·1 answer
  • An agency relationship can degenerate into an agency conflict when an agent acts in a manner that is not in the best interest of
    10·2 answers
  • Maria wants to be a teacher when she graduates from college and hopes to marry another teacher so they can get their summers off
    9·2 answers
  • On May 31, 20X1, the Arlene Corporation adopted a plan to sell its cosmetics line of business, considered a component of the ent
    6·2 answers
  • What are the steps to using a database template? Use the drop-down menus to complete them.
    12·2 answers
  • Jorge Company had the following transactions during 2017. • Sales of $4,500 on account • Collected $2,000 for services to be per
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!