<u>Calculation of Edelman's market/book ratio:</u>
The market/book ratio is calculated with the help of following formula:
Market/book ratio = Market price per share / Book value per share
The Book value per share can be calculated as follows;
Book value per share =Common Equity/ Shares of common stock outstanding
= 8,000,000,000 /500,000,000
= 16
Hence ,
Market/book ratio = 25/16 = 1.56
Hence, Edelman's market/book ratio is <u>1.56</u>
The answer is strongest when the economy is at full employment.
the term is used to describe the public-sector spending. It means that purchases would be relatively high when more are employed. They have the capability to acquire the product. It can also be done by borrowing money and lenders can only borrow if their remuneration is sufficient to pay the loan. Another is if they had increased compensation, which makes them buy more than before.
Answer:
The minimum number of years that Lloyd must remain a member of the ADLA so that the lifetime membership is cheaper (on a present value basis) than paying the annual membership dues is 23 years.
Explanation:
The question is incomplete.
<em>Lloyd is a divorce attorney who practices law in Florida. He wants to join the American Divorce Lawyers Association (ADLA), a professional organization for divorce attorneys. The membership dues for the ADLA are $600 per year and must be paid at the beginning of each year. For instance, membership dues for the first year are paid today, and dues for the second year are payable one year from today. However, the ADLA also has an option for members to buy a lifetime membership today for $6,500 and never have to pay annual membership dues. Obviously, the lifetime membership isn't a good deal if you only remain a member for a couple of years, but if you remain a member for 40 years, it's a great deal. Suppose that the appropriate annual interest rate is 7.4%. What is the minimum number of years that Lloyd must remain a member of the ADLA so that the lifetime membership is cheaper (on a present value basis) than paying $600 in annual membership dues?</em>
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We have to equal the price of the lifetime membership with the present value of the annual membership. The anual membership present value is equal to a annuityof n years.
The budget for training can be developed for the five workers as explained below:
<h3>What is Budget?</h3>
A budget is the calculation or prediction of the cashflows expected to occur in the next period, there are many types of budgets for example, cash budget, sales budget and expense budget.
The budget for the given scenario is calculated as follows.
The trainer will take $140 per hour and training requires 8 hours
$140 * 8hrs = $1,120.
While the workers earn $18 per hour and there are 5 workers, this is a sunk cost as the employees will be paid whether they attend the training or not but while in the training the workers will not be contributing towards the earnings of the company so this will be considered as an expense.
$18 * 5 workers * 8 hrs = $720.
Adding the two expenses provide $1,840 ($1,120 + $720)
Learn more about Budgeting at brainly.com/question/27387644
