Answer:
The holding period return is 8%
Explanation:
In this question we need to find the holding period return for the stock, and for that we would need to know what is the stocks current price, what would the stocks price be in one year and how much dividend it will pay during the year. Their last dividend paid was $4 and their dividend is expected to grow at 5% in the future so the dividend paid in the current year would be 4*1.05= 4.2.
To find the current price of the stock we will use the DDM formula
DDM= D*(1+G)/R-G
(4*1.05)/(0.08-0.05)
Price = 140
Now we need to know what the stocks price would be in one year. For that we need to know the previous dividend which is 4.20, the growth rate which is 5% and the required rate of return which is 8%
DDM= (D*(1+G)/R-G
4.2*1.05/0.08-0.05
Price = 147
So now we know the current price, current year dividend and year end price we can calculate the holding period return.
Holding period return = (Dividend +(End of period price-Initial Price))/Initial Price
Dividend = 4.20
End Period Price = 147
Initial Price = 140
Holding period return = 4.20+(147-140)/140
=11.20/140
=0.08
=8%
Answer:
C) Jean's department has developed a subculture
Explanation:
Based on the information provided within the question it can be said that Jean's department has developed a subculture. This refers to a culture within a larger culture. Which seems to be the case since the company itself focuses solely on low risk taking and high attention to detail. While Jean's department focuses mainly on high team orientation including working together and socializing through various activities.
Answer:
Demographic segmentation
Explanation:
Demographic segmentation - it is the term used for segmentation of the population on the basis of sex, culture, income, etc. The main reason behind the segmentation of the population is to target the customers according to their needs.
for example - if in any locality, the majority of people believing in one culture or having the same status then the corporation must target the customers according to belief or their status. which can be achieved by demographic segmentation.
Answer:
B. $2,000
Explanation:
Given;
Total cost of ending inventory = $9,000
Total number of units = 600
Over heads cost = $3,000 and the overhead rate is 75% of direct labor
Let direct labour cost be y
75% × y = 3000
3y/4 = 3000
y = 4 × 3000/3
y = $4,000
Total Inventory cost = direct material cost + direct labour cost + overheads
9000 = direct material cost + 4000 + 3000
direct material cost = 9000 - 7000
= $2,000
