Answer:
Explanation:
Dividend yield formula = Dividend / Price
Dividend = $2.80
Price = $49.20
Dividend yield = 2.80/49.20 = 0.0569
Dividend yield = 5.69%
Capital gains yield (CGY) = Next year's price-Current price / current price
Next year's price(P1) = 49.20*(1+0.0725)
P1 = $52.77
CGY = (52.77-49.20) / 49.20
CGY = 3.57/49.20
CGY = 0.0726
Therefore, capital gains yield = 7.26%
Answer:
Year 1 = $387
Year 2 = $516
Explanation:
Loan has been granted on 1 April in Year 1 i.e. for a period from 1 April to 31 December = 9 months.
Interest for year 1 @6% = $8,600 X
= $387
Interest for year 2 will be from 1 January to 31 December =
$8,600 X = $516
Therefore interest revenue to be reported by Rosewood Company will be as follows
Year 1 = $387
Year 2 = $516
They control a country's foreign exchange reserves and set its monetary policies.