Answer:
B) Using a market multiple assumes that the target company is mispriced, while comparable companies are correctly priced.
Explanation:
Market Multiple, also known as trading multiples, is used to compare two financial measures, to determine the value of a company. It is another name for Price to Earnings Ratio (also called P/E Ratio).
Using the market multiple approach, investors can determine whether stocks in their portfolios will increase or decrease in price through the next term. Investors may then buy or sell stocks in order to maximize their expected gains calculated.
Answer:
Morgan’s earnings per share for 2015 is $6
Explanation:
To compute the earning per share, we have to use the formula which is shown below:
Earning per share = (Net income - declaration of preference dividend) ÷ (Average common shares outstanding)
= ($600,000 - $60,000) ÷ (90,000 outstanding shares)
= $6
Common dividends declared is not considered. Hence, it is not taken in the computation part.
Answer:
2,500,000 million dollars to break even
Explanation:
Job searching is not included in the entry career pathway. When you say entry career pathway, you need to consider what kind of career you are going to pursue. What kind of career will you be focusing on and be successful.
Answer:
The type of business risk that poses the greatest threat to a company's overall success is Competitive Risk.
Explanation:
Business risk threatens a company's ability to meet its target or achieve its financial goals. They could be caused by what you have control of such as operations and what you cannot control such as natural disaster and unfavorable government policy.
However, the greatest threat to a company's overall success is competitive risk.
Competitive risk is the chance that competitive forces will prevent you from achieving your overall business goal. It is often associated with the risk of declining business revenue or margins due to the actions of a competitor.
