Based on the payoff of the other investment alternatives, Nike's opportunity cost is<u> $600,000.</u>
<h3>
What is Opportunity Cost?</h3>
- It refers to benefits forgone when an alternative is picked instead of another alternative.
- Is calculated as the payoff from the next best investment.
The next best investment was the $600,000 Nike was making per year on its money market account which makes this amount the opportunity cost of investing in Vietnam.
Find out more on opportunity cost at brainly.com/question/1549591.
Answer:
I agree with that, because all of them have good bussiness ideas.
Answer:
The EAR on the investment is 23.79%
Explanation:
Here, we are concerned with calculating the EAR on the stock investment.
Firstly, we start with calculating the return on shares
Mathematically, that is; P1 - P0
From the question P1 = $57.36 while P0 = $54.14
So Return on shares = $57.36-$54.14 = $3.22
We proceed with calculating the Return on shares in percentage
Mathematically;
Return on shares in % = Return on shares/P0 * 100
= 3.22/54.14 * 100 = 5.95%
Lastly we calculate the effective annual interest;
The effective annual interest = 5.95%/3 * 12 = 23.79%
Answer:
$1
Explanation:
The computation of the dividend per share is shown below:
Given that
Earning per share for this year =4
Target Payout Ratio = 25%
Paid dividend per share = $0.60 per share
Based on the above information, the dividend per share is
= Earning per share × Payout Ratio
= 4 × 25%
= 1
Therefore, Dividend per share is 1
We simply multiplied the earning per share with the payout ratio so that the dividend per share could come
Answer:
The answer is $43,258.
Explanation: Here the borrower will have to pay the par value at maturity which is $43,258 in this case. The investor, at the time of buying the discounted note will pay an amount equal to Par value - discount.
The borrower will receive an amount less than $43,258 on issue of discounted note but will have to pay the full amount on maturity.
