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jeyben [28]
3 years ago
9

Kindzi Co. has preferred stock outstanding that is expected to pay an annual dividend of $4.74 every year in perpetuity. If the

required return is 4.59 percent, what is the current stock price
Business
1 answer:
olasank [31]3 years ago
3 0

Answer:

The price of the preferred stock today is $103.27

Explanation:

The preferred stock pays a constant dividend after equal intervals of time and has an indefinite maturity. Thus, a preferred stock is just like a perpetuity. The value or price of a perpetuity can be calculated using the following formula.

The price or a perpetuity:

P = Cash Flow / r

As the cash flow in this case is dividends so we will use dividends in place of cash flow and divide by the required rate of return.

P = 4.74 / 0.0459

P = $103.267 rounded off to $103.27

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Grievance procedures in nonunion firms: a. Usually have arbitration as its final step and permit the use of wildcat strikes amon
Mazyrski [523]

The correct option is C

<u>Explanation:</u>

Non-association complaint techniques fluctuate generally in their structure from casual open entryway arrangements to expound peer survey and assertion based methodology. The selection of these systems is driven by a scope of elements including association substation, suit shirking, and as a component of human asset techniques concentrated on advancing high responsibility from representatives.

Non-association complaint methods will, in general, be utilized less much of the time that their association partners, yet use levels fluctuate depending on the structure of the methodology with those joining non-administrative leaders displaying higher utilization levels.

Therefore, Option c is correct - Do not frequently have an employee's grievance decided by a third-party neutral.

4 0
3 years ago
Sally Smith, a supervisor at Kroger's, was recently evaluated by her subordinates. Their responses indicated that Sally uses The
Temka [501]

OPTIONS:

A) naturally like work.

B) will work toward goals they are committed to.

C) have little ambition.

D) have the potential to accomplish the organization's goals.

E) seek out and accept responsibility

Answer:

C) have little ambition.

Explanation:

The theory X consists of a set of assumptions that that a manager or leader has regarding their subordinates. This theory is one of the theories of management that was developed by a social Psychologist known as Douglas McGregor.

According to Theory X, as proposed by McGregor, it is assumed that people are naturally lazy, and unwilling to work. It also assumes that they have little ambition, and would try as much as possible to avoid work. This theory assumes also that motivation that is monetary is what majorly drives people to work.

<em>Sally, treating employees  as if they have little ambition indicates she uses Theory X assumptions when dealing with employees.</em>

<em></em>

7 0
3 years ago
A bank that has liabilities of $150 billion and a net worth of $20 billion must have:
Yakvenalex [24]
Had to look for the options and here is my answer. Given that the bank possesses a liability that is worth $150 billion and its net worth is only $20 billion, then this would mean that the bank must have ASSETS OF $170 BILLION. Hope this answers your question.
7 0
3 years ago
In corporations, it is easy to transfer ownership by selling stock.<br> Select one: true or false
Serhud [2]

Answer:

the question is false

Explanation:

you can't sell stock for ownership

8 0
2 years ago
Several years ago, Castles in the Sand Inc. issued bonds at face value of $1,000 at a yield to maturity of 6.2%. Now, with 6 yea
lyudmila [28]

Answer:

The price of the bond is $659.64.

Explanation:

C = coupon payment = $62.00 (Par Value * Coupon Rate)

n = number of years = 6

i = market rate, or required yield = 15 = 0.15  = 0.15 /2  = 0.075

k = number of coupon payments in 1 year = 2

P = value at maturity, or par value = $1000

BOND PRICE= C/k [ 1 - ( 1 / ( 1 + i )^nk ) / i ] + [ P / ( 1 + i )^nk )]

BOND PRICE= 62/2 [ 1 - ( 1 / ( 1 + 0.075 )^6x2 ) / 0.075 ] + [ $1,000 / ( 1 + 0.075 )^6x2 )]

BOND PRICE= 31 [ 1 - ( 1 / ( 1.075 )^12 ) / 0.075 ] + [ $1,000 / ( 1.075 )^12 )]

BOND PRICE= 31 [ 1 - ( 1 / ( 1.075 )^12 ) / 0.075 ] + [ $1,000 / ( 1.075 )^12 )]

BOND PRICE= $239.79 + $419.85 = $659.64

8 0
3 years ago
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