1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
dezoksy [38]
3 years ago
6

Each of two stocks, A and B, is expected to pay a dividend of $7 in the upcoming year. The expected growth rate of dividends is

6% for both stocks. You require a return of 12% on stock A and a return of 12% on stock B. Using the constant-growth DDM, the intrinsic value of stock A _________.a. will be higher than the intrinsic value of stock Bb. will be the same as the intrinsic value of stock Bc. will be less than the intrinsic value of stock B
Business
1 answer:
spin [16.1K]3 years ago
5 0

Answer:

B

Explanation:

Intrinsic value of the stock using the constant growth DDM model = D1 / r - g

D1 = dividend in the following year

r = required return

g = growth rate

Since the growth rate and required rate and growth rate of both stocks are the same, the intrinsic value of both stocks would be equal to :

$7 / 0.12 - .06 = $116.7

You might be interested in
A company that uses an in-house advertising department might turn its advertising and promotion tasks over to an outside agency
Tema [17]

Explanation:

think the answer is E all of the Above

8 0
2 years ago
In which situation would it be better to use a credit card instead of cash?
bonufazy [111]
Computer, its a larger amount of money to pay so it would be best there

6 0
2 years ago
J. S. Bach's organ chorale prelude "Jesu, Joy of Man's Desiring" is an example of ______ texture.
drek231 [11]
The answer is "polyphonic" 

Hope this helps:)
3 0
2 years ago
Read 2 more answers
Chicken and tuna fish are substitutes in consumption. Suppose that new technology decreases the cost of catching tuna. This woul
mihalych1998 [28]

Answer:

B. a decrease; a decrease

Explanation:

Substitutes' goods are products that can be consumed in place of each other.  If one product is missing, consumers will be ready and willing to buy its substitute. An increase or fall in the price of a good or services will cause the demand for its substitute to move in the opposite direction.

Equilibrium quantity is when supply matches the demand. If the price of Tuna fish decreases, its demand will increase as more customers will afford it. Tuna and chicken are substitutes, should the price of Tuna decrease,  customers will prefer to consume Tuna over chicken.  Consequently, the demand for chicken will reduce w leading to a decrease in its price.

6 0
2 years ago
how should trash and recyclables be stored food in an area only accessible to employees in a well ventilated space in a manner t
strojnjashka [21]

Trash and recyclables should be stored in the following ways:

  • double bagged and stacked.
  • in a well ventilated space.

<h3>What is pollution?</h3>

Pollution can be defined as the physical degradation, destruction or contamination of the environment, especially through littering of waste products (garbage) or an emission of hazardous, poisonous, and toxic chemical compounds by various factories and industries.

<h3>What is recycling?</h3>

Recycling can be defined as a waste (trash) management technique that involves the process of converting a raw material that has reached the end of its life cycle into new and reusable items.

According to the Environmental Protection Agency (EPA), trash and recyclables should be properly stored through methods that are friendly and unharmful to the ecosystem.

In this context, we can reasonably infer and logically deduce that trash and recyclables should be stored in the following ways:

  • double bagged and stacked.
  • in a well ventilated space.

Read more on trash and recyclables here: brainly.com/question/24588352

#SPJ1

Complete Question:

How should trash and recyclables be stored?

inaccessible to pests

double bagged and stacked

in a well ventilated space

in an area only accessible to employees

8 0
2 years ago
Other questions:
  • Jamal has been tasked with putting together a new team for a new Starbucks project line. As Jamal thinks through the components
    14·1 answer
  • The Dealey Electric Group produces light bulbs that are used in refrigerator manufacturing. Currently, only three other companie
    9·1 answer
  • The career clusters show us that there are A. no more manufacturing jobs. B. few career options. C. few career options in the ar
    10·1 answer
  • Which of the following is true at the​ long-run equilibrium in a monopolistically competitive​ market? A. Each​ firm's output is
    14·1 answer
  • You have purchased a U.S. Treasury bond for $3,000. No payments will be made until the bond matures 10 years from now, at which
    10·1 answer
  • Strategic planning is an organization's process of defining its strategy, or direction, and making decisions on allocating its r
    7·1 answer
  • The FDIC in the United States insures some financial accounts up to what amount?
    10·1 answer
  • Which of the following correctly describes a general ledger?
    14·1 answer
  • Concord Inc. had beginning inventory of $11,900 at cost and $21,000 at retail. Net purchases were $140,679 at cost and $183,000
    9·1 answer
  • Why can most people in Hospitality and Tourism careers succeed with a secondary education as their highest level of education? M
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!