Answer:
They should invest $5,119,047.619 today.
Explanation:
The trust fund will pay a fixed amount forever thus it is a perpetuity. The value of perpetuity or Price of perpetuity is the amount that the perpetuity is worth in today's terms based on the cash flows it will generate in future.
The formula for the value or price of perpetuity is,
P0 or V = Cash Flow / r
Thus,
P0 or V = 215000 / 0.04 = $5,119,047.619
Answer:
25 percent.
Explanation:
Given that,
Net Income =$200,000
Paid dividends to common stockholders = $50,000
Weighted average number of shares outstanding in 2022 = 2,000 shares
Selling price of common stock = $80 per share
Dividend pay-out ratio:
= (Dividend paid to Common Stockholders ÷ Net Income) × 100
= ($50,000 ÷ $200,000) × 100
= 0.25 × 100
= 25%
Therefore, the company’s payout ratio for 2022 is 25 percent.
<span>The following properties can be classified as those associated with metal elements: having a high density, malleable, and having low melting points.
The following properties can be classified as those associated with non-metal elements: dull and nonreactive to acids.</span>
Answer:
$25,000
Explanation:
Calculation for the what is the amount of net income
Using this formula
Net income= Total Revenues-Total expenses
Let plug in the formula
Net income= 35,000+10,000
Net income=$25,000
Therefore the amount of net income will be $25,000
