Answer:
$26.05
Explanation:
according to the constant dividend growth model
price = d1 / (r - g)
d1 = next dividend to be paid = d0 x (1 + growth rate)
d0 = dividend that was just paid
r = cost of equity
g = growth rate
1.5 x (1.045^6) / 12 - 4.5 = $26.05
Answer:
Cost of goods sold = $576,900
Explanation:
The budgeted cost of goods sold will be the sales volume in 2020 multiplied by cost per unit .
Sales volume in year 2020= (100-10)% × sales figure for 2019
= 90% × 160,250= 144,225
Cost of goods sold per unit = cost of goods sold in 2019/Sales units in 2019
= 641,000/160250=$4
Cost of goods sold = $4× 144,225 = $576,900
Cost of goods sold = $576,900
