Answer: Users.
Explanation:
There are 7 positions in the Buyer Decision Process which includes the Initiators, the buyers, decision makers, influencers, Users and Gatekeepers.
The Users are the finally people who actually use the product and their opinion matters. They are usually consulted on how to make a product better in the post-evaluation process.
Kate as a sales representative arranged to meet students and got their feedback on textbooks with the aim of using their feedback to make their textbooks better. This would signify that the students play a USER role in the buying centre and their opinion is being used to learn to make a product better. Also, the company sells textbooks and textbooks are usually for students.
Answer:
price = $47.82
Explanation:
Find the present value of each dividend at the required rate of return and sum them up to get the current price;
PV = FV /(1+r)^n
PV(D1) = 3.55/ (1.099^1) = 3.2302
PV(D2) = 4.65/ (1.099^2) = 3.8500
PV(D3) = 5.85 / (1.099^3) = 4.4072
PV(Price at t=4) = 53 / (1.099^4) = 36.3316
Price = 3.2302+2.9392+4.4072+36.3316
= 47.81897
Therefore, price = $47.82
Answer:
A. 12.1%
B. 8.9%
Explanation:
a. Calculation for What is the company's new cost of equity
Using this formula
New cost of equity=Cost of capital+[(Cost of capital- Debt interest rate ) *(Debt-equity ratio)*(1)]
Let plug in the formula
New cost of equity=[0.089+[(0.089-0.057)*(1)*1]
New cost of equity=[0.089+0.032*(1)*1]
New cost of equity=[0.121*(1)*1]
New cost of equity=0.121*100
New cost of equity=12.1%
Therefore the company's new cost of equity will be 12.1%
b. Calculation for What is its new WACC
Particular Weight Cost Weighted cost
Equity 0.5000 *12.1% = 0.0605
Debt 0.5000 * 5.7% =0.0285
WACC =0.089*100
WACC =8.9%
(0.0605+0.0285)
Therefore the new WACC will be 8.9%
Answer:
Zero Increase in Real GDP between 2004 and 2005.
Explanation:
Nominal value of GDP in 2004
Nomina Value = $100 x 500,000
Nominal Value = $50,000,000
Nominal value of GDP in 2005
Nominal value = $200 x 500,000
Nominal value = $100,000,000
We can find Real GDP amount by multiplying base year price by current year quantity.
Real GDP = Base year price x Current year quantity
Real GDP = $100 x 500,0000
Ral GDP = $50,000,000
