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frozen [14]
3 years ago
13

Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next nine years because t

he firm needs to plow back its earnings to fuel growth. The company will pay a dividend of $15 per share 10 years from today and will increase the dividend by 6 percent per year thereafter. If the required return on this stock is 12 percent, what is the current share price
Business
1 answer:
posledela3 years ago
5 0

Answer:

$90.15

Explanation:

Calculation to determine the current share price

Current share price=$15/(.12− .06)/(1+0.12)^9

Current share price=$250/1.12^9

Current share price=$90.15

Therefore The current share price will be $90.15

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Answer:

D a budget deficit.

Explanation:

A budget deficit is when government spending exceeds income from taxes.

The State of Washington spent a total of $74.8 billion and had a total income of $65.8 billion. Spending exceeds income from taxes by $9 billion. The State of Washington has a budget deficit.

A budget surplus is when income from taxes exceeds government spending.

I hope my answer helps you.

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Travka [436]
The best answer for this question would be:

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DochEvi [55]

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The completely correct sentence is;

Most American cars are delivered f.o.b. Detroit; however, imports are not.

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Semicolon indicates a pause or that an explanation continues, as it joins two (2) independent clauses.

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