Answer:
November 2011
Explanation:
Based on the information given if the company purchased 20 sofas in the month of November 2011 in which the company paid the amount of $3,000 for an advert that ran in the local newspaper in the same month of November 2011 which simply means that the month in which the advertising costs should be expensed is the month of NOVEMBER 2011 which is the month the company paid the amount of $3,000 for advertising in the local newspaper.
Answer:
also cut its prices.
Explanation:
the kinked demand theory is based on the premise that prices in oligopoly or duopoly markets tend to be very rigid and the participating industries are not very responsive to price changes. I.e. competitors will tend to respond more to a price decrease than to a price increase. In this case, Kittysitters will only change their prices if Kit-N-Sit decreases them. Instead, if Kit-N-Sit increased their prices, Kittysitters would do nothing.
Answer:
the dividend per share is $18.85 per share
Explanation:
The computation of the dividend per share is shown below:
We now that
price per share = Dividend ÷ (required rate of return - growth rate)
$145 = Dividend ÷ (13% - 0%)
So, the dividend is
= $145 × 13%
= $18.85 per share
Hence, the dividend per share is $18.85 per share
Answer:
The value of interest is 7,387%
Explanation:
We will first deal with fund A. First we will deal with the first 5 years earning interest at 15%.
Using a financial calculator we enter the following keystrokes
n = number of years i = interest pmt = annual payments FV = future value
n = 5 i = 15% pmt = 100 COMP FV
FV = 674,23
Now we wil use 674,23 as our Present Value (PV).
n = 8 PV = 674,23 i = 6% pmt = 100 comp FV
FV = 2064,36
Now we use this figure as the FV in Fund B to determine the interest rate.
n = 13 FV = 2065,36 pmt = 100 comp I *Note that either payments or FV needs to be entered as a negative otherwise the calculator will give you an error.
Interest = 7,387%