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xz_007 [3.2K]
2 years ago
15

A company sells equipment for $6,000. The original cost was $50,000. The

Business
1 answer:
pantera1 [17]2 years ago
5 0

I think it’s a loss of $1,000. To be honest I don’t believe the Math adds up to be any of the answers.

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A firm’s stock is expected to pay a $2 annual dividend next year, and the current $50 stock price is expected to rise to $60 ove
pochemuha

Answer:

Expected rate of return will be 24%

So option (b) will be correct option

Explanation:

We have given dividend in next year will be $2

So dividend D_1=2$

Current stock price P_0 = $50

And it is given that in next year stock price is $60

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50R_e=12

R_e=0.24 = 24%

So expected rate of return will be 24%

So option (B) will be correct option

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