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Serjik [45]
3 years ago
12

Jenin recently purchased 100 shares of Tarifi's Optical common stock for $6,000. The stock is expected to provide an annual cash

flow of dividends of $400 indefinitely. Assuming a discount rate of 8 percent, how does the price Jenin paid compare to the value of the stock?
Business
1 answer:
dusya [7]3 years ago
8 0

Answer:

Since the present value of the perpetuity ($5,000) is less than the price that Jenin paid for the stocks ($6,000), we can conclude that she paid an excessively high price for them.

Explanation:

Jenin invested $6,000 in stocks that yield a perpetual dividend. In order to compare if Jenin made a good deal we must find the present value of the perpetuity:

present value = annual cash flow / discount rate = $400 / 8% = $5,000

Since the present value of the perpetuity is less than the price that Jenin paid for the stocks, we can conclude that she paid an excessively high price for them.

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PtichkaEL [24]

Answer:

A. Distracting billboards

Explanation:

Billboards are huge advertisements placed on the roadsides.  They promote products or brands of different companies. They also advertise events and popular venues. Billboards are for commercial use and located in urban centers.  

Billboards are paid for; hence, they will be placed where there are likely to communicate to a broad audience. In rural areas, billboards are not economically viable due to the sparse distribution of people. For this reason, billboards do not pose any risks to people driving in rural areas.

Unpaved, poorly maintained roads,  Poorly lit roads at night, and  Wildlife or livestock crossing roads are characteristics or rural setting. Anyone driving in the upcountry is highly likely to encounter them.

8 0
3 years ago
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kvv77 [185]

Answer:

The method of gaining attention that Paul use is relating the topic to the audience.

Explanation:

Paul here is trying to get attention of his audience through relating the topic to them in such way that they understand the topic in the est way possible. What Paul is doing here is kind of an analogy , where he is relating the tremendous feats( playing 2130 games , with 17 hand fractures) of Lou Gehrig to completing the school without any leave and scoring A grade, through this kind of analogy Paul would be able to relate the topic to every person in the audience.

4 0
3 years ago
The purpose of a lease is _____.
REY [17]
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7 0
3 years ago
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VikaD [51]

Answer is Industry

Explanation:

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Since EZ Electronics Inc., Neo Digital Inc., and Techno Products Corp., are all grouped as manufacturers and sellers of consumer electronics, it describes their similarities, of which their relative attractiveness or consumer preference can be compared with each other. Therefore, they are a part of an industry.

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NikAS [45]
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