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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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Compare revolving credit and closed-end credit.
jolli1 [7]

The lender and borrower agree to the amount borrowed, the loan amount, the interest rate and the monthly payment, which depend on the borrower's credit rating.Generally, real estate and auto loans are closed-end credit, but home-equity lines of credit and credit cards are revolving lines of credit or open-end.

5 0
3 years ago
5. If you enter a road from a driveway, alley or roadside you must:
8_murik_8 [283]

Answer:

If you enter a road from a driveway, alley or roadside you must:

Yield to vehicles already on the main road.

Explanation:

The concept of right to way is supposed to be understand since there are no law that actually grants the right of way since it only states when the right of way is to be yielded. This concept has to be considered and well understood by all motorists to avoid conflict on roads. These conflicts often cause accidents which can lead to possible loss of life. Thus the rules governing right of way have to be taken very seriously to minimize the probability of accident.

In the following cases the right of way has to be yielded;

1. When one is at a yield sign for example; a stop sign

2. At a pedestrian crosswalk

3. At intersections that don't have traffic lights or where there is uncontrolled movement

4. At T intersections where one has to yield to motorists already on the main road

5. When one needs to turn left into the main road, one needs to yield to oncoming vehicles on the main road

6. One one is moving from a parking lot to the pavement

In our case, rule number four applies since one needs to enter from a driveway alley or roadside to the main road. This means that one on the driveway needs to yield to vehicles already on the main road.

3 0
3 years ago
Read 2 more answers
In​ 2008, the required reserve ratio for a​ bank's first​ $9.3 million in checking account deposits was zero. It was 3 percent o
Greeley [361]

Answer:

In most cases the deposits have a reserve ratio of 10% but in some cases the ratio is 0% and 3%, both these numbers are lower than 10. This means that in most cases the ratio is 10% and in some cases the ratio is less than 10 % so the real word deposit multiplier will be less than 10.

Explanation:

8 0
3 years ago
Corporate-level strategies are strategies a firm uses to diversify its operations from a single business competing in a single m
andrew-mc [135]

Answer:

a. False

Explanation:

Corporate level strategies are undertaken by the top management formulating strategic business policies with a purpose of achievement of long term goals and objectives.

Such policies affect the organization as a whole. The purpose of corporate level strategies is to maximize profits over a period and ensure success.

Diversification strategy is aimed at adding operations to pre existing line of operations into different category of products and markets and explore new business ventures.

Hence, corporate level strategies are not limited to diversification strategy as the concept of corporate level strategy is much broader.

7 0
3 years ago
Which of the following best describes what a manager does?
Bingel [31]

Answer:

D works for a company and produces resources to make a prpduct

7 0
3 years ago
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