Answer:
$30.80
Explanation:
Intrinsic value
V0=D1/1+k +D2/(1+k)^2 +DH+PH/(1 +k)^H
Let plug in the formula
First step
V0=$1 × 1.2/(1+0.085) +($1 × 1.2)^2/(1+0.085)^2 +($1 × 1.2)^2*1.04/(0.085-0.04)*(1+0.085)^2
Second step
V0=1.2/1.085+1.44/1.007225+1.44*1.04/0.045*1.177225
Third step
V0=1.2/1.085+1.44/1.007225+1.4976/0.052975
Fourth step
V0=1.10599+1.42967+28.26993
V0=$30.80
Therefore the intrinsic value of its stock will be $30.80
The interest would be 11.61232% to be exact.
Answer:
B) II and III.
Explanation:
Based on the information given the statement that are TRUE are II and III
II. The amount of $2,000($10,000-$12,000) which is the profit for the business will be given to the customer but the customer account will have to be frozen or put on hold for 90 days because the customer had not paid for the buy side before selling the shares for the amount of $12,000
III. In a situation where customer paid the amount for the buy side in full either before or after the fifth business day which is the day that follows the trading date, the customer account that had be frozen will be unfrozen or lifted because the buy side amount had be paid in full.
<em>Trained manager </em>would be the answer
Answer:
C) Transitions
Explanation:
Transition section help you move from one shot to the next.
