1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
icang [17]
2 years ago
15

Hudson Corporation will pay a dividend of $2.78 per share next year. The company pledges to increase its dividend by 4.5 percent

per year indefinitely. If you require a return of 15 percent on your investment, how much will you pay for the company’s stock today? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
Business
1 answer:
DanielleElmas [232]2 years ago
7 0

Answer:

You need to pay $26.47. The further explanation is given below.

Explanation:

The given values are:

Dividend

D_1 = $2.78\ per  share

Required rate of return

k_e = 0.15

Dividend's growth rate

g = 0.045

Now,

The stock price will be:

= \frac{2.78}{0.15-0.045}

= \frac{2.78}{0.105}

= 26.47

You might be interested in
QS 9-8 (Algo) Recording employer payroll taxes LO P3 Merger Co. has 10 employees, each of whom earns $1,700 per month and has be
oksian1 [2.3K]

Answer:

Dr Payroll Tax Expense: $2,321

Cr FICA- Social security taxes payable $1,054

Cr FICA- Medicare taxes payable $247

Cr SUTA-State unemployment taxes payable $918

Cr FUTA- Federal unemployment taxes payable $102

Explanation:

Preparation of the March 31 journal entry to record the March payroll taxes expense

March 31

Dr Payroll Tax Expense: $2,321

($1,054+$247+$918+$102)

Cr FICA- Social security taxes payable $1,054

[($1,700*10)*6.2%]

Cr FICA- Medicare taxes payable $247

[($1,700*10)*1.45%]

Cr SUTA-State unemployment taxes payable $918

[($1,700*10)*5.4%]

Cr FUTA- Federal unemployment taxes payable $102

[($1,700*10)*0.6%]

(To record payroll taxes expense)

5 0
3 years ago
Several employees at a fast-food restaurant call in sick at the last minute. The manager tries to fill in but doesn't know how t
VikaD [51]

Answer:  Trained incapacity

Explanation: In simple words, it refers to the idea that after gaining a certain kind of education, skill or experience etc. the level of thinking of an individual cannot go beyond a certain limit.

In the given case, the manager was the upper level employee and was not habitual to the work that was performed by the workers in the restaurant.

Therefore this position in the workplace limited his skills of performing only the managerial work.

Hence from the above we can conclude that the above case depicts trained incapacity.

3 0
3 years ago
A marketing manager has just estimated that her firm's marginal revenue will become negative if a proposed price cut is made.
Viktor [21]

Answer:

D. More Units may be sold - but total revenue will be less than it would be at the higher price

Explanation:

Marginal Revenue (MR) represents the additional revenue that can be obtained if sales of a product are increased by one unit.

MR= is change in Total Revenue/Change in Total Output Quantity

In this situation as envisaged by the Marketing Manager, a price cut will lead to an increase in revenue based on more (marginal) units of the product sold at a lower price. The challenge, however, is that this increase in income will not be enough to offset the decrease in revenue that will result as a result of the price cut.

In other words, the organisation is better off selling fewer products or units at its current price than sell more (marginal units) at a reduced price.

7 0
3 years ago
Suppose that 10 years ago you bought a home for $110,000, paying 10% as a down payment, and financing the rest at 8% interest fo
skad [1K]

Answer: $11,000

Explanation:

The solution to this problem is not tedious or complicated

Solution;

Amount is = $110,000

Percentage of down payment is given as = 10%

To get the amount of the down payments we find the 10% of $110,00

10% of $110,000 is = 10÷100

=0.1

We multiply it by the amount which is 0.1×110,000= $ 11,000

3 0
3 years ago
Conocimientos científicos
mihalych1998 [28]

Answer:

¿Cuáles son los mecanismos de prevencion del hipo cientificamente?

Hay una serie de medidas o remedios que parecen ayudar a frenar el hipo entre los que se pueden citar: Tomar un vaso de agua fría. Beber agua agachando el cuerpo hacia delante. Aguantar la respiración y espirar después lentamente, repitiendo varias veces el proceso.

4 0
3 years ago
Other questions:
  • What factors are important in predicting change in price?
    5·1 answer
  • Season tickets to the miami heat games are sold out at $30 a game and some people who wanted to get tickets couldn't buy them. a
    6·1 answer
  • A _____________________ is created during the first half of the sprint planning meeting and a _________________ is created durin
    10·1 answer
  • In a mutual fund, investors share equally in profits, losses, and management decisions.
    7·1 answer
  • Which of the following promises does NOT have to be evidenced by a writing in order to be enforceable? a. Jones's agreement with
    12·1 answer
  • Presented below is information related to Equipment owned by Bobcat Manufacturing, Inc. at December 31, 2019.
    11·1 answer
  • Economic efficiency is
    13·1 answer
  • Help ASAP please !!!!!!
    8·1 answer
  • 3. The Kelsh Company has two divisions--North and South. The divisions have the following revenues and expenses: Sales Variable
    12·1 answer
  • A MAIN reason cited by American businesses for outsourcing jobs to other countries is the high cost of
    8·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!