The annual Dividend (D0) = $1.10
D1 = $1.10 * (1+0.21)^1 = $1.33
D2 = $1.10* (1+0.21)^2 = $1.61
D3 = $1.10* (1+0.21)^3 = $1.95
D4 = $1.10 * (1+0.21)^4 = $2.36
D5 = $1.10*(1+0.05) = $2.48
Now the price of the stock at the end of the fourth year (P4) = $2.48/(0.085-0.05)
P4 = $2.48 / (0.035)
P4 = $70.85
Now the Price of the stock (P0) = $1.33/(1+0.085) + $1.61/(1+0.085)^2 +$1.95/(1+0.085)^3 + $2.36/(1+0.085)^4 + $70.86/(1+0.085)^4
Price of the stock (P0) = $1.23 +$1.37 + $1.53 + $1.70 + $51.13
Price of the stock (P0) = $56.86
Therefore the correct option is d, $56.86
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Answer:
1. Particulars Super premium Premium Economy
Material cost $16 $12 $10
Indirect cost (40000/10000) <u>$4 </u> <u>$4 </u> <u>$4</u>
Total cost $20 $16 $14
Profit (100% of total cost) <u>$20 </u> <u>$16 </u> <u>$14</u>
Selling price <u>$40</u> <u>$32 </u> <u>$28</u>
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2. Yes, the price calculated in part A takes into account what customers are willing to pay. This can be said because the company has the policy of adding 100% to the total cost. This means that the company knows that customers will be willing to pay that much amount.
Answer:
True
Explanation:
Critical thinking is the thinking that deals in analyzing the facts so that the judgment could be created. It involves various things like rationality, non-biased, proof-based on facts provided, etc
Here the factors that directly impact the critical thinking are people, constraints and the consumption this results in shaping your goals and objectives you made
hence, the given statement is true
Answer:
ur mom. stop asking for help on other ppls questions
Explanation: