Answer:
$38.78
Explanation:
The formula to compute the share price in one year is shown below:
Price of a stock = (Next year dividend) ÷ (Required rate of stock return - growth rate)
where,
Price of the stock = Next year dividend ÷ (Risk free rate + beta × (Market return - Risk free rate) - Dividend growth rate)
$35 = $0.80 ÷ (5.5% + 1.2 × (12% - 5.5%) - g)
So after solving this
The growth rate is 11.01%
Now the share price after one year is
= 0.80 × (1 + 11.01%) ÷ (13.3% - 11.01%)
= $88.81 ÷ 2.29%
= $38.78
D
you can use common sense for this
Demand for potatoes remain the same and supply of potatoes decrease. The number of potatoes sold will decrease and producers naturally increase price of potatoes (to try to earn more)
Answer:
2.7 times
Explanation:
The computation of the current ratio is shown below:
Current ratio = Current assets ÷ Current liabilities
where,
Current assets = Cash + account receivable + inventory + marketable securities + prepaid expense
= $30,000 + $65,000 + $72,000 + $36,000 + $2,000
= $205,000
And, the current liabilities is
- Account payable + accrued liabilities + short term note payable
= $40,000 + $7,000 + $30,000
= $77,000
So, the current ratio is
= $205,000 ÷ $77,000
= 2.7 times
Answer:
Option C has a lower present worth, thus his cost is lower than other options after, considering time value of money <u>595,098.03</u>
Explanation:
Option A present worth <u>600,000</u>
Option B present worth of annuity-due
C $ 69,000
time 25 years
rate 0.12
<u>PV $606,117.7906 </u>
Option C
650,000 cash payment less present value of the rental space:
C $ 7,000
time 25 years
rate 0.12
PV $54,901.9738
650,000 - 54,901.97 = <u>595,098.03</u>
Answer:
<em>Cristano</em><em> </em><em>ronaldo</em>
<em>Lionel </em><em>Messi</em>
<em>Donald </em><em>trump</em>