Opportunity based decision making
Answer: Po = Do(1+g)/Ke-g
Po = $3.10(1-0.109)/0.13 - (-0.109)
Po = $3.10(0.891)/0.13+0.109
Po = $3.10(0.891)/0.239
Po = $11.56
Explanation: The current market price of the stock equals the current dividend paid multiplied by 1+g divided by the excess of cost of equity over growth rate. The growth rate is negative in this case, thus, the growth rate would be deducted from 1. Moreso, the growth rate will be added to cost of equity since it is negative. Thus, the amount that the investor will be willing to pay is $11.56.
Answer:
There will be cut in taxes and increased spending.
Explanation:
Expansionary policies are those in which government takes decisions to increase the spending on infrastructure, health, education and other development projects and reduces the taxes. This strategy is used to boost the economy. The increased spending creates more opportunities and there will be lesser unemployment in the country.
Looking toward the future, Emily ought to utilize the five stage procedure to better decide her future. That, as well as search for an Ideal vocation and utilize the five stage illuminating procedure to discover it. Emily ought to concentrate on the things that she has involvement with, is great at.
To solve for the gross margin:
Gross margin = net sales - cost of goods sold
Gross margin = $847,000 - $561,500
Gross margin = $285,500
To solve for the operating expenses:
Operating expenses = gross margin - net income
Operating expenses = $285,000 - $101,200
Operating expenses = $183,800
