Answer
The answer and procedures of the exercise are attached in a microsoft excel document.
Explanation
Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.
Currently, $17.39 is the price that investors are willing to pay for a share of this stock. Currently, $18.75 is the price that investors are prepared to pay for a share of this stock.
What is preference shares?
Shares with the ability to receive dividends announced by the firm before equity shareholders are referred to as preference shares, or preferred shares. A security with a fixed income is preferred shares.
Annual rate after year 4(g) =2%
required rate (r) = 9%
Terminal value = Dividend year 4 × (1 + g) / (r—g)
1.25000 × 1 + 0.02/0.09 – 0.02
= 18.21429
(i) D1/(1+r) + 
+ 
+ terminal value/
1.50/(1+9%) + 1.50/
+ 1.25/
+ 1.25/
+ 18.21429/
= 17.39289
(ii) Annual dividend/r
1.50/8%
=18.75
Hence, the significance of the preference shares is aforementioned.
Learn more about on preference shares, here:
brainly.com/question/16940314
#SPJ1
Answer:
c. International acquisitions are generally cheaper than the establishment of a new subsidiary.
Explanation:
- An international acquisition is a company that buys and takes control of the other company and business is pwned and consolidated in to with other entities and despite the improvement in the performance of the mergers.
- The acquisitions often disappoint the companies that need to have a stable decision-making process and the problem of the fragmentation and integration are most complexes that needed to be handled thus acquisitions are not cheap er to establish.
Answer:
Yes
Explanation:
I believe celebrities must participate progressively in political issues. They have the right audience and stage, and they should utilize it to spread awareness. Celebrities have the right to speak up their mind, just like every other person. As I would see it, they can be influential so they should express their thoughts considering how noticeable their voice is to the general public. To me, celebrities do not change my political assessment and opinions, yet they educate me on different sentiments and help me to understand a different point of view. This practice will also encourage freedom of speech. Therefore, everyone must give their opinion on politics, specially celebrities.
