Assuming the required return is 12 percent, the stock price today is $40.61.
Given:
Dividend=$2.58 per share
Increase in Dividend=20% and 15%
Number of year=2 years
Increase in Annual Dividend=3.6%
Required return=12%
P2=Stock price today
Now let calculate the stock price today
P2 = [$2.58(1+0.20)]/(1+.12) + [$2.58(1+.20)(1+.15)]/(1+.12)^2 + {[$2.58(1+.20)(1+.15)(1+.036)]/(0.12 − 0.036)}/(1+.12)^2
P2 = [$2.58(1.20)]/1.12 + [$2.58(1.20)(1.15)]/1.12^2 + {[$2.58(1.20)(1.15)(1.036)]/(0.12 − 0.036)}/1.12^2
P2=($3.096/1.12)+ ($3.5604/1.2544)+ [($3.68857/0.084)/1.2544]
P2=$2.7643+$2.838329+($43.91155/1.2544)
P2=$2.7643+$2.838329+$35.0060
P2=$40.61
Inconclusion assuming the required return is 12 percent, the stock price today is $40.61.
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Answer:
$4,800,000
Explanation:
Widget corporation purchased all of its fixed assets three years ago for $6 million
These assets can be sold today for $3 million
The company receives $1.8 million in cash after liquidation of current assets
Therefore the market value of the company's total assets today can be calculated as follows
Market value = $3,000,000 + $1,800,000
= $4,800,000
Hnence the company's market value for today is $4,800,000
Answer:
All the above.
Explanation:
- Based on the articles the middle-class shrinks P&G high and low are identified by the environmental factors that may impact the development of the firm in the market.
a) Social
: The Social factor in the external environment of the form will be related to the firm showing the product whether it's accepted by the society at large.
b) Cultural
: This aspect will focus on the moral and ethical principles of the company wants to portray.
c) Demographic
: Factors related to the people and their age structures as they are customers users of the products.
d) Economic
: In terms of the revenue maximization and profit motive should target with the appropriate amount.
e) Competitive
: As the markets are highly competitive the demand for the product and the market values will be dependent on the company position of the product.
f) Technological has a larger and integrated role to play.
Answer:
a. $69.46
b. 58.15
Explanation:
a. Price = Benchmark PS ratio × Sales per share
<u>Sales per Share</u>
= Sales / Shares outstanding
= 2,100,000/130,000
= $16.15
Price = 4.3 * 16.15
Price = $69.46
b. PS Ratio is 3.6
Price = Benchmark PS ratio × Sales per share
Price = 3.6 * 16.15
Price = $58.15
The answer is Prospecting cover letter. A letter of interest, also known as a prospecting letter or inquiry letter. This is sent to potential or desired employers that may be hiring, but haven't listed a specific job opening to apply for.
