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3 years ago

10

When using annual worth to evaluate the attractiveness of a single alternative, what value is the calculated AW compared to in d

etermining if an investment is attractive?
a. PW
b. FW
c. 0.0
d. MARR

1 answer:

kompoz [17]3 years ago

6 0

The answer is C. 0.0

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Goodwin Technologies, a relatively young comply, has been wildly successful but has yet to pay a dividend. An analyst forecasts

aleksandrvk [35]

Answer:

Horizon value is $22.59

Intrinsic value is $16.32

Explanation:

D3=1.5000

D4=1.5000*(1+7.8%)

D4=1.6170

D5=1.6170 *(1+7.8%)

D5=1.7431

D6=1.7431 *(1+3.42%)

D6=1.8027

horizon value is the same as the price of the stock(the terminal value) using the dividend in year 6

P=D5*(1+g)/(r-g)

D5=$1.7431

g is the constant growth rate of 3.42%

r is the required rate of return of 11.40%

P=$1.7431*(1+3.42%)/(11.40%-3.42%)

P=$1.8027/0.0798 =$22.59

Goodwill Technologies share price is $22.59

Current intrinsic value is the dividends payable in relevant years plus the horizon value discount to present value as follows:

Present value of D3 =1.5000/(1+11.40%)^3=$1.0850

present of value of D4 =1.6170 /(1+11.40%)^4=$1.0500

present value of D5 =1.7431 /(1+11.40%)^5=1.0160

present value of horizon value=$22.59/(1+11.40%)^5=13.1671

Total present values $16.32

8 0

3 years ago

lee reed, marisa a. pagnattaro, et al., the legal and regulatory environment of business (18th or 19th edition mcgraw-hill irwin

timurjin [86]

19th Edition of The Legal and Regulatory Environment of Business

By Julie Manning Magid, Daniel Cahoy, Peter Shedd, and Marisa Pagnattaro ISBN10: 1260734285 ISBN13: 9781260734287

An extremely dependable, simple-to-use online homework and learning management solution that incorporates cutting-edge adaptive tools and learning science to enhance student performance.

The Legal and Regulatory Environment of Business, 19th Edition, by Marisa Pagnattaro, Daniel Cahoy, Julie Manning Magid, and Peter Shedd is available for free download as an eBook, PDF, EPUB, and other digital formats. Detailed and scientifically thorough writing that is acceptable for use as a university reference. It's a requirement that both lecturers and students read this book. Book publishers have already worked for businesses. obtainable as a hardcover, paperback, and e-book. You have the option of paying for or using free digital formats.The English-language book, published on February 1st, 2021, was written by four scientists. This book has been translated into a number of different languages for distinct nations.

The totality of all external and internal influences on a business can be referred to as the business environment. It's important to remember that a firm can be impacted by both internal and external influences acting in concert. An external component that affects the internal environment of corporate activities, for instance, is a health and safety legislation. Additionally, you have no influence over some outside variables. These elements are sometimes referred to as external constraints. Let's examine some important environmental aspects.

To learn More about business environment from the given link.

brainly.com/question/26589766

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2 years ago

Prepare the journal entry to record Zende Company’s issuance of 66,000 shares of $5 par value common stock assuming the shares s

eduard

Answer:

The journal entry to record Zende Company’s issuance of 66,000 shares of $5 par value common stock assuming the shares sell for $5 cash per share would be

Debit Credit

Cash $330,000

Common stock $330,000

The journal entry to record Zende Company’s issuance of 66,000 shares of $5 par value common stock assuming the shares sell for $6 cash per share would be

Debit Credit

Cash $396,000

Common stock $330,000

Paid in capital in excess of par value $66,000

Explanation:

The journal entry to record Zende Company’s issuance of 66,000 shares of $5 par value common stock assuming the shares sell for $5 cash per share would be as follows:

Debit Credit

Cash $330,000

Common stock $330,000

Par values of the share of common stock=$66,000*5

Par values of the share of common stock=$330,000

The journal entry would be prepared by debiting cash and crediting common stock by $330,000

The journal entry to record Zende Company’s issuance of 66,000 shares of $5 par value common stock assuming the shares sell for $6 cash per share would be as follows:

Debit Credit

Cash $396,000

Common stock $330,000

Paid in capital in excess of par value $66,000

cash=66,000*$6

cash=$396,000

Common stock=$66,000*5=$330,000

Paid in capital in excess of par value=$396,000-$330,000=$66,000

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3 years ago

For a note receivable that was created on November 1, 2018 and is due for repayment on October 31, 2019, what is the time fracti

Alenkasestr [34]

Answer:

Correct answer is A.

2/12

Explanation:

The total time period for which interest will be accrued and will be credited to the interest income account would be for the period November 1,2018 - December 31,2018 i.e 2 months.

5 0

3 years ago

Blissful Blankets' target profit is $520,000. Each blanket has a contribution margin of $21. Fixed costs are $320,000. The numbe

zysi [14]

It can be deduced that the number of blankets that must be sold in order for the company to achieve the target profit is 40000.

<h3>How to calculate the target profit</h3>

From the information, Blissful Blankets' target profit is $520,000 and each blanket has a contribution margin of $21. Fixed costs are $320,000.

Therefore, the number of blankets that must be sold to achieve the target profit will be:

= (520000+320000)/21

= 40000

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2 years ago