Answer:
C. lower, higher
The reason for this is that when growth rates are lower investors will be willing to pay less for the stock is because low growth rate mean that the capital gains will be less as stock price is less likely to increase in the future and dividend growth is also less. Also the DDM model D*(1+G)/1-R shows that mathematically a lower growth rate would mean lower stock price
Also Higher required returns mean that the investor requires higher returns to buy the stock, because he may view the stock as risky and requires higher returns for the risk he is taking or he may have a higher opportunity cost (for eg interest rates may be high) with other investments. Mathematically the DDM model D*(1+G)/R-G shows us that a higher R would mean lower stock price.
Explanation:
Melinda bought her firm dysiavagywb wowownw r
<span>TRUE</span>
<span>MBO is a four-step process in which (1) managers and employees
jointly set objectives for the employee, (2) managers develop action plans, (3)
managers and employees periodically review the employee's performance, and (4)
the manager appraises and rewards the employee based on performance</span>
Answer:
Explanation:
Double Declining balance method is the form of accelerated depreciation method, in which value of asset depreciated twice by the rate which is charged in straight line method.
Depreciable Cost = Cost of Asset - Residual value
Depreciable Cost = $46,250 - $2,800 = $43,450
Double-declining-balance rate = [ 2 x ( Cost of Asset - Residual value ) / Useful life ] / Cost of Asset
Double-declining-balance rate = [ 2 x $46250 / 5 ] / $46,250 = 40%
Double Declining balance depreciation for the first year = $46,250 x 40% = $18,500
