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Lapatulllka [165]
2 years ago
9

Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next 9 years because the

firm needs to plow back its earnings to fuel growth. The company will then pay a dividend of $15.75 per share 10 years from today and will increase the dividend by 5 percent per year thereafter.
If the required return on this stock is 13 percent, what is the current share price?
Business
1 answer:
Diano4ka-milaya [45]2 years ago
7 0

Answer 45k ...

Explanation:

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Two decades ago when the United states entered info the North American Free Trade Agreement with Canada and Mexico, there was si
stepan [7]

Answer: It was believed by some politicians and unions that NAFTA poses more harm to the United States economy unlike TTIP.

Explanation:

The North American Free Trade Agreement (NAFTA) is an agreement entered into by Canada, United States, and Mexico that ensures free trade among the countries as it was created to remove tariff barriers to different sectors of the economy and ensure free trade.

The Transatlantic Trade and Investment Partnership (TTIP) is a trade agreement which is proposed between the United States and the European Union with the aim of promoting economic growth and trading activities.

Some politicians and trade unions were in disagreement with NAFTA because it led to job losses especially in the manufacturing firms in the U.S. Companies also threatened to relocate to Mexico in order to keep their workers from joining trade unions and this suppressed wages as workers could not negotiate for better wages.

NAFTA allowed trucks from Mexico to enter the United States. These Mexican also entered the United States illegally by crossing the border. These were some of the reasons some people were not in agreement with NAFTA.

5 0
3 years ago
3. What challenges do you anticipate in implementing some of the above steps? Explain.
erica [24]

In implementing some of your steps, anticipate the challenges as they are bound to e related to your specific goal.

<h3>What are challenges?</h3>

Generally, challenges are simply a competitive situation to determine who is superior in a specific field.

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6 0
2 years ago
Haystack, Inc. manufactures machinery used in the mining industry. On January 1, 2017 it leased equipment with a cost of $480,00
HACTEHA [7]

Answer:

$175,808

Explanation:

P=R (1-(1+i)^-n)/i

Where P=780,000*90%=$702,000

R=?

i=8%

N=5 years

By putting above values in formula, we get

P=R(1-(1+.08)^-5)/.08

702,000=R*3.993

R=702,000/3.993

R=$175,808

3 0
3 years ago
CAN SOMEONE PLEASE HELP ME WITH MY ECONOMICS CLASS I BEEN STRUGGLING ON IT PLEASEEE HELP ME !!!!
vitfil [10]

Answer:

can u tell me what it is and I'll help

8 0
3 years ago
Early in 2015, Mathew is analyzing shares of Janeff Corp. He expects the following dividends per share (end of year). 1. 2015: $
Svetllana [295]

He should pay no more than $66.68 per share

Explanation:

Given ,

1. 2015: $1.00

2. 2016: $1.25

3. 2017: $1.50

Earnings per share = $4.50

P/E ratio = 20

Required rate of return = 12%

Stock price per share expressed according to P / E ratio

P/E Ratio = Market Price per share ÷  Earnings per share  

20 = Market Price per share ÷ $4.50

Market Price per share = 20 × $4.50

Market Price per share = $90

Earn 12% of return

So here you discount to present value all the planned dividend and market price. use as discount factor here a necessary rate of return

present value of all amounts = 66.7

So, maximum amount that is paid to earn 12% return is $66.7

7 0
4 years ago
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