Which best illustrates the distinction between statistical significance and practical importance
1 answer:
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Answer:
The current stock price is $65.54
Step-by-step explanation:
Consider the provided information.
The company will then pay a dividend of $15.75 per share 10 years from today and will increase the dividend by 5 percent per year thereafter. If the required return on this stock is 13 percent,
Therefore, the value of next dividend is $15.75, and it will increase with the rate of 5% i.e growth rate = 5% = 0.05
The required rate is 13% = 0.13
Now calculate the stock price for the next 9 yr as shown:
Now calculate the current stock price as shown:
Therefore, the current stock price is $65.54
Answer:
x=0
x=10
x=24
Step-by-step explanation:
f(x) = -.05x^2 + x +6
The initial value is 6 ( Let x=0 and f(0) = 6)
f(x) = -.05( x^2 -20 x -120)
I plotted the equation and maximum is at x=10 and the zero is at x=25
