Answer:
A. $42,500/20,000=$2.125 per share
B. Total dividend=50*2.125=$106.25
Explanation:
A. The dividend per share of the Super Widget Corporation can be calculated using the following formula:
Dividend per share=declared dividend amount/number of shares
=$42,500/20,000=$2.125 per share
B.Since the Kevin Rainey owns 50 shares of the Super Widget Corporation, therefore the total dividend of Kevin Rainey will be determined using the following formula:
Total dividend=50*2.125=$106.25
Answer:
$12.297
Explanation:
From the given information:
The required amount for the after-tax annual savings to yield a return of 12% can be calculated as follows:
The Present value PV of future salvage value, after tax is:
= $10000 × 0.567
= $5670
From the original outlay of investment which is = $50000
The net amount to be recovered in terms of the present value = $50000 - $5670
= $44330
Finally, the required amount for the after-tax annual savings = 
= $12.297
Answer:
$2,686,898
Explanation:
The computation of the issued price of the bond is as follows;
= Maturity value present value + interest payment maturity value
= $3,000,000 × 02697 + (($300,000 × 0.12) × 5.2161)
= $2,686,898
The 0.297 represent the PVF at 14% for 10 period
5.6502 represent the Present value of an annyity for 10 period at 12%
Identifying a target strategy
