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Snezhnost [94]
3 years ago
15

You expect KT industries (KTI) will have earnings per share of $4 this year and expect that they will pay out $1.75 of these ear

nings to shareholders in the form of a dividend. KTI's return on new investments is 13% and their equity cost of capital is 10%. The value of a share of KTI's stock today is closest to ________.
Business
1 answer:
melisa1 [442]3 years ago
5 0

The value of a share of KTI's stock today is closest to 9.5% , 0.004375 .

Explanation:

Investment Investment (ROI) is an investment performance metric used to evaluate or compare the success of a variety of investment operations.

In addition to the spending price, ROI aims to explicitly calculate the make value of a single project.

g = retention rate

ROI = 0.75*13% = 9.5%,

Price = 1.75/(0.10-0.0975) = 0.004375

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__________ is credited with being the first restaurant to franchise.
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3 years ago
When a full set of general purpose financial statements is presented, comprehensive income and its components A. Appear as part
DochEvi [55]

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D) Must be reported in a presentation that includes the components of other comprehensive income and their total.

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4 0
3 years ago
If a company reports profit margin of 33.1% and investment turnover of 1.20 for one of its investment centers, the return on inv
PolarNik [594]

If the investment turnover is  1.20 for one of its investment centers, the return on investment must be: 39.72%.

Using this formula

Return on investment = Profit margin ×Investment turnover

Where:

Profit margin=33.1% or 0.331

Investment turnover=1.20

Let plug in the formula

Return on investment = 0.331×1.20

Return on investment = 0.3972×100

Return on investment = 39.72%

Inconclusion If the investment turnover is  1.20 for one of its investment centers, the return on investment must be: 39.72%

Learn more about return on investment here: brainly.com/question/23823344

7 0
2 years ago
Kraus Steel Company has two departments, Casting and Rolling. In the Rolling Department, ingots from the Casting Department are
ludmilkaskok [199]

Answer:

The units started and completed is 59,900 tons

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The computation of the number of tons started and completed during October is shown below:

Units Completed = Beginning Work in Process Units Completed + Units started and Completed

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So, the units started and completed is

= 74,900 tons - 15,000 tons

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Hence, the units started and completed is 59,900 tons

4 0
3 years ago
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