Answer:
B) a local cable company
Explanation:
A local cable company provides communication services using underground cables. Service offed by a cable company includes televisions, internet connectivity, and telephone services. Such a company needs communication equipment to facilitate signal and message transmission.
Damien repairs communication equipment. He probably works for a local cable company.
Answer:
$3.16
Explanation:
Since in the question it is given that the company wants to maintain a constant dividend.
So, the maximum amount you are willing to pay for one share is
= $0.60 ÷ 19%
= $3.16
We simply divide the dividend for 3 year by the earning rate of return so that the maximum price could come
All the other information which is given is not relevant. Hence, ignored it
Answer:
b. $358,500
Explanation:
Given;
Retained Earnings at December 31, 2018 = $300,000
In 2019,
Revenue = $600,000
Expenses = $525,000
Declared and paid dividends = $16,500
Retained earnings on the balance sheet as of December 31, 2019
= $300,000 + $600,000 - $525,000 - $16,500
= $358,500
The right option is b. $358,500
Answer:
23.68%
Explanation:
The computation of the cost of not taking a cash discount is shown below:-
Cost of not taking a cash discount = [Discount percentage ÷ (100% - Disc.%)] × (360 ÷ (Final due date - Discount period))
= (2% ÷ 98%) × (360 ÷ (50 - 19))
= 2.04% × 11.61
= 23.68%
Therefore for computing the cost of not taking a cash discount we simply applied the above formula.
Answer:
$44
Explanation:
Data provided in the question:
Dividend on Spirex Corporation's common stock = $4.00
Expected growth rate, g = 10%
Required rate of return, r = 20%
Now,
Price willing to pay = 
here,
D1 = dividend at end of year
or
D1 = $4 × (1 + r )
or
D1 = $4 × ( 1 + 0.1 )
or
D1 = $4.4
Thus,
Price willing to pay = 
or
Price willing to pay = $44
