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3 years ago

The cost of preferred stock

Business

1 answer:

Ghella [55]3 years ago

5 0

Answer:

Dividends are fixed ⇒ Debt

Preferred dividends are fixed much like the interest payments made on debt which makes this a characteristic of debt.

Usually have no specified maturity date ⇒ Equity

Equity does not have an expiration or maturity date and preferred shares share this same characteristic.

Cost of preferred stock.

The value of a Preferred stock is calculated by the formula:

Price = Dividend / Cost of preferred stock

97.95 = 11 / Cp

97.95 * Cp = 11

Cp = 11/ 97.95

= 11.23%

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What country borders the caspian sea, the persian gulf, and the gulf of oman?.

wel

Iran, is the country that borders the Caspian sea, the Persian gulf, and the gulf of Oman.

<h3>Which countries lie along the Caspian sea, the Persian gulf and the gulf of Oman?</h3>

Iran country lies in the Middle-East of the Iraq and Pakistan, that borders the Caspian sea, the Persian gulf, and the gulf of Oman.

The inland sea is connected to the Gulf of Oman from the East and the countries that lie along the Persian Gulf and the Gulf of Oman are Oman, Iraq, Kuwait, Saudi Arabia, etc.

Strait of Hormuz connects the the Persian Gulf to the Arabian Sea.

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2 years ago

You can invest in an account that pays simple interest or an account that pays compound interest. In either case, you plan to in

trasher [3.6K]

Answer:

You will receive $201.38 more interest if the investment is made with a compound interest rate rather than a simple interest rate.

Explanation:

Simple interest rate

We can calculate how much interests you'd obtain if you deposited the $2,600 in a simple interest rate account.

We start using the following formula for calculating the simple interests:

$I=P * r$

Where:

I are the interests per year,

P is the amount being invested,

r is the interest rate.

Replacing in the formula with the given values we have:

$I=2600*0.05=130$

We then proceed to multiply this result by the given number of years, which is 8. We get $130*8=1040$ .

Finishing with the simple interest rate, if we wanted to know how much is the investment worth at the end of a 8 year period, we must merely add the principal (the $2,600) to the total interests after the end of the period ($1040). So $2600+1040= 3640$ .

We'll use these results later.

Compound interest rate

The formula for compound interests is the following:

$I=P(1+r)^n$

Where:

I is the value of the investment after n years,

P is the principal amount being invested,

r is the interest rate,

n are the number of years the investment is compounded.

Replacing in the formula with the given values we have:

$I=2600*(1+0.05)^8=3841.38$

After the 8 year period, the investor will have $3841.38 in it's compounded interest account.

Comparing these results

We can simply substract the value of both investments at the end of a 8 year period, to determine how much more interest does the compound interest rate account give in relation to a simple interest rate account.

The values we've gotten were:

$3,640 for the simple interest rate account, and

$3,841.38 for the compounded interest rate account.

$3841.38-3640=201.38$ . Therefore the answer is: the account that pays compounded interests will pay $201.38 more to this invididual, compared to an account that pays simple interest.

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3 years ago

The R&D department at Parabola Inc. is developing innovative methods to develop products that would reduce resource wastage.

mihalych1998 [28]

Answer:

b) Lateral Thinking

Explanation:

Lateral thinking is the approach where creative and innovative ways are thought out. In this approach, problem solvers deliberately distance themselves from generic and classic approaches and thus try to come up with brand new ideas and not follow typical thinking patterns.

All the other options can be used to find solutions but they may not necessarily take this innovative approach.

Hope that helps.

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3 years ago

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Phantasy [73]

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3 years ago

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algol [13]

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2 years ago