Answer:
The correct answer is letter "B": Sell-off.
Explanation:
A sell-off is the rapid sale of an asset typically follow by its drastic decline in its value. For example, if ABC corporation releases a bad earning report many of its shareholders may decide to sell their shares. With many sellers and few buyers, ABC stock value will sharply fall.
Kraft Foods Inc., in November 2004, published the sell of its sugar confectionery enterprises because they had discontinued operations. They planned to restructure the organization realigning and lowering the structure cost and optimizing capacity utilization.
Answer:
Option A
Explanation:
We can be 90% confident that the mean amount of money spent at sporting events last year by all the students at this university is between $ 217 and $ 677.
The interval offered by option A, is the same result obtained by the student on his research. By the definition the confidence interval permit us to conclude that the mean of the population would be on that interval.
Answer:
$44.87
Explanation:
Use Dividend Discount Model to solve this question;
First, find the dividend per year;
First year's dividend ; D1 = D0(1+g)
D1 = 1.32 (1.30) = 1.716
Second year's dividend ; D2 = 1.716 (1.10) = 1.8876
Third year's dividend ; D3 = 1.8876 (1.05) = 1.9820
Next, find the present value of each dividend at 9% required return;
PV (D1) = 1.716 / (1.09) = <em>1.5743</em>
PV (D2) = 1.8876 /(1.09²) = <em>1.5888</em>
PV (D3 onwards) = 
= PV (D3 onwards) = <em>41.7052</em>
Sum up the PVs to find the current market value of the stock;
= 1.5743 + 1.5888 + 41.7052
= 44.8683
Therefore the value is $44.87
Answer:
Option A "Qualitative" is the right option.
Explanation:
- Qualitative approaches usually involve data analysis models and techniques from some kind of wide range of functional professional disciplines.
- This same occurrence we were also willing to take part though is that smoker's behavior patterns with a relatively low socio-economic designation have been qualitative. Individual qualities as well as other qualities are indeed qualitative research.
And the above response is the appropriate one.
Answer:
$61,127,596
Explanation:
formula for the value of operations =
[Free Cash Flows (1 + growth rate)] / (WACC - growth rate)
where
We have D/E = 2 or D=2*E (debt-equity ratio)
Tax = T=35%,
Ks=10%,
Kd =7%
Kd*(1-T) = 7%*(1-35%) = 4.55%
WACC = Kd*(1-T)*(D/(D+E)) + Ks*(E/(D+E))
WACC = 4.55%*(2E/3E) + 10%*(E/3E)
WACC = 4.55%*(2/3) + 10%*(1/3)
WACC = 6.37%
Value of Ops = 2000000*(1+3%)/(6.37%-3%)
Value of Ops = $61,127,596
to be profitable it must receive for the product line $61,127,596
