Answer:
Price lowers and becomes negative or -5.37 dollars
Explanation:
Market risk premium's formula could be written as dividends/price + dividend's growth rate. Therefore, we dividend growth rate according to the current price and dividend level equal to market risk premium - dividends/price or 0.15 - 1/15.43 = 0.086 or 8.6%. If the dividend growth rate rises by 25% than new one is 33.6%. Price is equal to dividends/market risk premium - dividend growth rate or in this case 1/0.15-0.336 or 1/-0.186 or -5.37 dollars. If the price is negative that would mean that any future selling of the stock would mean that ABC would have to pay in order to sell it.
Answer:
Manufacturing cost: $
Direct material ($6.50 x 3,200) 20,800
Direct labour ($2.40 x 3,200) 7,680
Manufacturing overhead ($1.10 x 3,200) 3,520
Supervisory salaries 13,600
Depreciation 5,500
Other fixed costs <u>2,200</u>
Total manufacturing cost <u> 53,300</u>
Explanation:
Total manufacturing cost is the aggregate of direct material, direct labour,variable manufacturing overhead and fixed costs. Fixed costs include supervisory salaries, depreciation and other fixed costs. Direct material cost per unit, direct labour cost per unit and manufacturing overhead cost per unit should be multiplied by the budgeted units per month.
Answer:
The correct answer is letter "B": joint venture.
Explanation:
Two or more companies in a traditional joint venture plan to commit capital and resources to a specific project. Developers, manufacturers, and service providers typically agree to form a joint venture. If successful, those parties divide the income based on the value of their respective joint venture contributions.
Answer:
nominal interest rate = 4% annual
effective interest rate = 5.56% annual
Explanation:
the bond's nominal rate is basically the coupon rate
to calculate the bond's effective interest rate we must calculate its yield to maturity:
YTM = [coupon + [(face value - present value) / n]} / [(face value + present value) / 2]
- coupon = $1,000 x 4% x 1/2 = $20
- FV = $1,000
- PV = $800
- n = 40
YTM = [20 + [(1,000 - 800) / 40]} / [(1,000 + 800) / 2]
YTM = 25 / 900 = 2.777 semiannual ⇒ 5.56% annual
Answer: The correct answer is "a. establish credibility".
Explanation: Terrance was seeking to accomplish the "establish credibility" goal in the speech introduction.
Among the qualities that every speaker should have is credibility, characterized by three other qualities, which are: honesty, knowledge and dynamism. The credibility also has to do with the good reputation of the speaker to obtain acceptance of his message, in addition to being well prepared, that is, having knowledge, competence and experience on the subject.