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Lisa [10]
3 years ago
7

Assume the firm’s dividend payment is $0.18, and that the required rate of return for the firm’s industry is 10.1%. What is the

market value of firm’s shares under the Dividend Discount Model? Group of answer choices $18.30 $17.77 $1.78 $1.83
Business
1 answer:
aleksandr82 [10.1K]3 years ago
7 0

Answer:

the market value of the share is $1.78

Explanation:

The computation of the market value of the firm under the dividend discount model is shown below:

The Market value of the share is

= Dividend Payment ÷ Required return

= $0.18 ÷ 10.1%

= $1.78

Hence, the market value of the share is $1.78

We simply applied the above formula so that the correct value could come

And, the same is to be considered

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What the difference between international accounting and domestic accounting
Umnica [9.8K]

Explanation:

International accounting (IAS) includes accounting standards and concepts of various countries. MNC's which operates in various countries need to follow the local accounting procedure and then need to compile the data so the overall performance of the company, can be determined. This also involves different currencies making the work difficult.

Domestic accounting (DAS) - every country have their own accounting standards and methods which must be followed while preparing books of accounts and are called domestic accounting. It is followed by companies which deal in only domestic business. Domestic accounting is done in home currency and is easier than international accounting.

3 0
2 years ago
3. Earning of profit is regarded as the main objective of business? Explain by giving any 3reasons
netineya [11]
Profit maximization is usually a main aim of most businesses in the private sector.

1) Usually people invest personal savings into starting businesses so that the return (aka profits) can be greater than the investment and they can earn a better living.

2) If profit is earned then the business would have enough money to pay dividends to its investors/shareholders, otherwise it wouldn’t have enough money to give as dividends and it will lose its investors.

3) Profit is required for the business to survive in competitive markets.
3 0
3 years ago
Suppose a bank has $600 million in deposits and $30 million in required reserves, and it is holding no excess reserves. What is
Kruka [31]

Answer:

5%

Explanation:

Deposit= $600 million

Required reserve= $30 million

Required reserve ratio= required Reserve/deposit

= 30 million/600 million

= 0.05×100

= 5%

Hence the required reserve ratio is 5%

7 0
3 years ago
Because advertising is often designed to add ________ value to a product or brand, it plays a more important communications role
wlad13 [49]

Answer:

The correct answer is Psychological.

Explanation:

Advertising is not only limited to advertisements in magazines, newspapers, radio, television or the Internet. In fact, it is practically in everything around us. The way to place the products in the department stores, the color and size of the potato chip packages, the price of the clothes, the subtlety of the words on the radio ... Everything that makes a product attractive and steals our attention serves as a powerful means to advertise it.

Therefore, all of us, when we buy or consume, seek to distinguish ourselves from others. In addition, this desire to stand out, to be different and unique, is what advertising psychology acts on. And when these individual differences are established, other concepts such as motivation arise in parallel.

8 0
3 years ago
Suppose that you are the vice president of marketing for Target, the large retail store chain. You want to keep your website and
marysya [2.9K]
<h2>wireless payments from mobile devices.</h2>

Explanation:

Now the trend is cashless. Everybody has smart phones and people are willing to pay through various money transfer application. So according to the given situation Vice president should choose wireless payments from mobile devices.

Option A: Correct answer

Option B: Social media application can only be used to promote product and not payment so far.

Option C: Desktop will still be present since it is not only mobile apps that is existing. May are using websites for payment

Option D & E: invalid choice.

5 0
3 years ago
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