answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
creativ13 [48]
2 years ago
15

Home Parties is paying an annual dividend of $1.78 every other year. The last dividend was paid last year. The firm will continu

e this policy until two more dividend payments have been paid. Three years after the last normal dividend payment, the company plans to pay a final liquidating dividend of $32 per share. What is the current market value of this stock if the required return is 14.7 percent?
Business
1 answer:
yuradex [85]2 years ago
8 0

Answer:

Home Parties is paying an annual dividend of $1.78 every other year. The last dividend was paid last year. The firm will continue this policy until two more dividend payments have been paid. Three years after the last normal dividend payment, the company plans to pay a final liquidating dividend of $32 per share. What is the current market value of this stock if the required return is 14.7 percent?

The current market value of this stock = $16.78.

Explanation:

Current market value of this stock = $1.78/1.147 + $1.78/1 .147∧3+ $32/1.147∧6

Current market value of this stock= 1.55187 + 1.78/1.509 + 132/2.27709

Current market value of this stock= 1.55187 + 1.17959 +  14.053

The current market value of this stock = $16.78.

You might be interested in
Attorneys Arianna and Alexander share an office that has a sign reading: "A & A, a law firm." Their billing invoices have bo
Mamont248 [21]

Answer: Both Arianna and Alexander

Explanation: This is a general partnership. In a general partnership, all partners are personally liable for all business debts. They do not need to have any agreement to be partners or register their partnership formally to enter into a general partnership. The fact that they share an office, have a joint sign and an account is sufficient to establish this form of partnership.

Also, in a general partnership, each partner is held severally liable, that is if  one of them is liable to pay a business debt and cannot afford to pay, the other partner has to.

5 0
2 years ago
If a computer virus spreads rapidly through a company's computer system and threatens to shut down all internal and external lin
lorasvet [3.4K]
If a computer virus spreads rapidly through a company's computer system and threatens to shut down all internal and external lines of communication, the company will likely put a contingency <span>plan into effect. 
</span>A contingency <span>plan is part of the risk management that deals with risks that</span> have catastrophic consequences. In this case the computer virus is a risk with catastrophic consequences: shut down communication. 
6 0
2 years ago
Country Breads uses specialized ovens to bake its bread. One oven costs $249,000 and lasts about 15 years before it needs to be
Svetradugi [14.3K]

Answer:

The equivalent annual cost of an oven is (A) -$74.839.43

Explanation:

Hi

<u>Known Data</u>

Operating cost=OC=\$34,300,n=15, VP=\$249,000 and i=14\%

<u>Computing total cost per year</u>

We are going to use the formula below with the known data.

A=\frac{VP}{\frac{1-(1+i)^{-n}}{i} } =\frac{249000}{\frac{1-(1+0.14)^{-15}}{0.14} }=40539.43. Then this is the fixed amortization cost per year.

Finally, we sum the fixed amortization cost per year and the operating cost:

Total cost per year=TCPY=A+OC=\$40,539.43+\$34,300=\$74,839.43, therefore the answer is  (A) -$74.839.43

3 0
2 years ago
Do “rules of the game” promote or prevent opportunism?
dexar [7]

Answer:

promote I think

6 0
2 years ago
The following are data for an economy in billions of dollars: Net rental income 141 Depreciation 1,241 Compensation of employees
Brilliant_brown [7]

Answer:

GDP= 9,872

Explanation:

The Expenditure Approach is a method of measuring GDP by calculating all spending throughout the economy including consumer consumption, investing, government spending, and net exports. This method calculates what a country produces, assuming that the finished goods and services of a country equals the amount spent in the country for that period.

The formula is:

GDP=C+I+G+/-NX

GDP: Gross Domestic Product

(C) consumer spending – this is the amount that all consumers spend on goods and services for personal use.

(I) investment – this is the amount that businesses or owners spend to invest in new equipment or expansions.

(G) government spending – this includes spending on new infrastructure like bridges and roads.

(NX) net exports – this includes spending on a country’s exports minus its spending on imports.

GDP= 6,728+1,767 +1,741+(1,102-1,466)

GDP= 9,872

7 0
2 years ago
Other questions:
  • Which of the following is not a part of Five M’s?<br> Material<br> Machine<br> Motion<br> Method
    14·2 answers
  • Jennifer Bloom is writing a paper and she must determine which of Porter’s three generic strategies The Museum Company has imple
    10·1 answer
  • Using the formula
    7·1 answer
  • Skaredykat Inc. is considering initial expansion beyond its home market. The firm has decided not to enter markets that differ g
    13·1 answer
  • The Cash T-account of Rainbow, Inc. has a beginning balance of $52,000. During the year, $244,000 was debited and $241,000 was c
    9·1 answer
  • Beanstalk International is a rapidly growing company with well-established subsidiaries in several nations. The company wants to
    12·1 answer
  • Which savings option is best for Vincent? Use the PACED decision-making method and show your work.
    14·1 answer
  • During a recent lengthy strike at Morell Manufacturing Company, management replaced striking assembly line workers with office w
    13·1 answer
  • Which type of layout features departments or other functional groupings in which similar activities are performed
    7·1 answer
  • Price controls on rents are frequently implemented by governments in an effort to protect renters from high housing prices. Diff
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!