The question is incomplete. Here is the complete question.
Caribou Gold Mining Corporation is expected to pay a dividend of $6 in the upcoming year. Dividends are expected to decline at the rate of 3% per year. The risk-free rate of return is 5%, and the expected return on the market portfolio is 13%. The stock of Caribou Gold Mining Corporation has a beta of .5. Using the constant-growth DDM, the intrinsic value of the stock is _________. A. $150 B. $50 C. $100 D. $200
Answer:
$50
Explanation:
Caribou Gold mining corporation is expected to make a dividend payment of $6 next year
Dividend are expected to decline at a rate of 3%
= 3/100
= 0.03
The risk free rate of return is 5%
= 5/100
= 0.05
The expected return on the market portfolio is 13%
= 13/100
= 0.13
The beta is 0.5
The first step is to calculate the expected rate of return
= 0.05+0.5(0.13-0.05)
= 0.05+0.5(0.08)
= 0.05+0.04
= 0.09
Therefore, the intrinsic value of the stock using the constant growth DDM model can be calculated as follows
Vo= 6/(0.09+0.03)
Vo= 6/0.12
Vo= $50
Hence the intrinsic value of the stock is $50
More than 3 but less than or equal to 4 days
is the average processing time per income tax form.
Option - a
<u>Explanation:
</u>
So, T = 3.2Days
The average processing time per income tax form is more than 3 but less than or equal to 4 days.
Work in process relates to a partially completed portion of the stock of a business. The valuation of a partially finished stock is also sometimes referred to as the balance sheet products in operation, particularly when the company produces tangible goods instead of services.
Answer: Backtranslation
Explanation:
Back translation is the process of interpreting a document or retranslating a document that had been translated into another language back to its main original language.
Since the researchers are planning to use English and French versions of the survey, then in the preparation of the survey, they should use backtranslation.
Answer:
will, real economic growth is positive in the long run.
Lower; creditors to debtors.
Explanation:
Theory of money is the economical view that the inflation is dependent on the money supply in the country. When the money supply is higher then inflation will be lowered and purchasing power of the consumer will be high. When inflation is set to a minimum possible rate then real economic growth will be positive in the long run and negative in the short run.
Based on the percentage that SBA guaranteed out of Nancy's loan, the bank stands to lose $11,250.
<h3>How much does the bank stand to lose?</h3>
The bank stands to lose the amount that wasn't guaranteed by the SBA in the event that Nancy Appleton's business fails.
This amount can be found as:
= Loan amount x ( 1 - percentage guaranteed)
Solving gives:
= 45,000 x ( 1 - 75%)
= $11,250
Find out more on loan guarantees at brainly.com/question/9636559.
