Answer:
What is the expected dividend yield for Portman's stock today?
d. 6.40%
Suppose Portman is considering issuing 62,500 new shares at a price of $26.78 per share. If the new shares are sold to outside investors, by how much will Judy's investment in Portman Industries be diluted on a per-share basis?
a. $0.52 per share
Thus, Judy's investment will be diluted, and Judy will experience a total loss of $0.52 x 7,500 = $3,900
Explanation:
cost of equity = Re = risk free rate of return + (Beta × market premium) = 5% + (0.90 x 6%) = 10.4%
dividend in one year = $1.68 x 120% = $2.016
intrinsic stock price = $2.016 / (10.4% - 4%) = $31.50
expected dividend yield = dividend / stock price = $2.016 / $31.50 = 6.4%
Judy's loss per share = ($31.50 - $26.78) x (62,500 / 562,500) = $0.5244
Answer:
Delayed Payment means a purchase by a buyer in which title to the grain passes to the buyer at a determined price and payment to the seller is not made in less than twenty-one (21) days after delivery.
Answer:
Limited liability company
Explanation:
A limited liability company is one that the owners are not personally liable for the business. Rather the company is a legal entity on its own and can be sued legally as a sepearte entity from its owners.
It combines features of a corporation and a partnership or sole proprietorship.
This will be the best type of business given that the business will not be expected to earn for the first two years. The sisters will not be personally liable for any debt incurred.
Also the business will continue even if only one of the sisters remains.
So an LLC is the best option for them.
Answer:
Asset-backed securities, also called ABS, are pools of loans that are packaged and sold to investors as securities
Explanation:
there you go
<u>Full question:</u>
BuyStore Inc, an online retail store, sells all of its products through its Web site, buystore.com, and through an application on cell phones. BuyStore Inc is an example of a _____.
A) brick-and-mortar firm
B) pure-play company
C) third-party broker
D) physical storefront
<u>Answer:</u>
BuyStore Inc is an example of a pure-play company
<u>Explanation:</u>
A pure-play is a company that concentrates on solely one line of business. Pure plays hold easy-to-understand cash flows and earnings and perform to the provision to a recess market. Representing a company as pure-play enables proprietors and administrators to concentrate on some of the core competencies.
Narrowing a company’s center concedes leaders to reduce confusion and to simplify the firm’s individual sales scheme. The pure-play business model enables companies to explore and develop without large investments in local locations or subsidiary offices.
