Answer:
$22.20
Explanation:
Using the equation to calculate the price of a share of stock with the PE ratio:
P = Benchmark PE ratio * EPS
So, with a PE ratio of 15
P = 15*($1.48)
P = $22.20
Answer:
C.
Explanation:
Because there is more demand with this good, the current price projects how the sellers are reacting to the market. If there is a shortage of goods being supplied to a market then this means that the sellers price is too high because more people (who arent willing to pay for it for so much) are wanting the product.
Answer:
3 years and 8 months
Explanation:
The payback period is the length of time that it takes for the cashflow of a project to equal the initial investment of the project.
Initial investment = $ 63,000
Cash flow :
Sales $ 17,500
Less Expenses ($6,500)
Add Depreciation ($ 63,000 ÷ 10) $6,300
Annual Cash flow $17,300
thus,
It takes 3 years and 8 months ($11,100/$17,300 x 12) for the cashflow of a project to equal the initial investment for the new machine.
Answer:
Spread
Explanation:
Spread is the difference between bid and ask price quoted by dealer to purchase and sell a security.
Spread is the excess amount which is asked by the dealer for a security over the bid amount at which he is willing to buy the security.
