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iogann1982 [59]
2 years ago
14

Wyatt Oil has 8 million shares outstanding and is about to issue 10 million new shares in an IPO. The IPO price has been set at

$15 per share, and the underwriting spread is 6%. The IPO is a big success with investors, and the share price rises to $35 the first day of trading. The amount that Wyatt Oil raised during the IPO is closest to: 113 million 141 million 150 million 350 million
Business
1 answer:
dexar [7]2 years ago
8 0

Answer: 141 million

Explanation:

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The most desirable bundle of rights in time-sharing gives the buyer privileges to rent or sell the interest in the property. the
Arturiano [62]

The most desirable bundle of rights in time-sharing gives the buyer privileges to rent or sell the interest in the property. These rights are known as Livery of Seisin. Livery of Seisin refers to owning something and having the right to sell it. When a consumer owns a time-share, they have the rights to rent or sell the property during their allotted time during the year they have the property.

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2 years ago
Read 2 more answers
To hedge future uncertainty, five sets of actions organizations can be taken. One of which is: Select one: a. collaborate b. inc
saveliy_v [14]

Answer:

The correct answer is letter "C": delay until further clarity emerges.

Explanation:

American Professor Alfred A. Marcus (born in 1950) in his book "<em>The Future of Technology Management and the Business</em>" (2015) explains hedging could be a strategy to protect companies in front of the rapidly changing environment they face because of the constant introduction to technology in the market. According to Marcus, there are five (5) hedging strategies firms could implement:

  1. Gamble on the most probable: <em>work on the product with the highest success rate. </em>
  2. Take the robust route: <em>invest in as many products as possible. </em>
  3. Delay until further clarity emerges: <em>waiting for a proper moment to react in front of market changes. </em>
  4. Commit with a fallback: <em>adapt according to the market. </em>
  5. Try to shape the future: <em>innovate.</em>
8 0
2 years ago
Determining the Optimal Product Mix with One Constrained Resource Relax Spas provides two types of massage services, the Full Bo
m_a_m_a [10]

Answer:

Full body = $132

For trouble spots = $180

Explanation:

The computation of contribution margin per hour is shown below:-

For Full body

Contribution per service = $198

Massage time required in minutes = $90

Massage time required (90 min ÷ 60 min) = $1.5

Contribution per hour = $198 × $1.5

= $132

For Trouble spots

Contribution per service = $90

Massage time required in minutes = $30

Massage time required (30 min ÷ 60 min) = $0.5

Contribution per hour = $90 × $0.5

= $180

5 0
2 years ago
You are analyzing Jillian’s Jewelry (JJ) stock for a possible purchase. JJ just paid a dividend of $1.50 yesterday. You expect t
disa [49]

Answer:

A. D1 = 1.50*1.06 = 1.59

D2 = 1.59*1.06 = 1.69

D3 = 1.69*1.06 = 1.79

B. PV of D1=(1.50*1.06)/1.13^1=1.41

PV of D2=(1.50*1.06^2)/1.13^2=1.32

PV of D3=(1.50*1.06^3)/1.13^3=1.24

PV of all dividend = (1.50*1.06)/1.13^1 + (1.5*1.06^2)/1.13^2 + (1.5*1.06^3)/1.13^3

PV of all dividend = 1.59/1.13 + 1.6854/1.2769 + 1.786524/1.442897

PV of all dividend = 1.407079646 + 1.319915 + 1.238150748

PV of all dividend = 3.965145814288893

PV of all dividend = 3.97

C. PV = 27.05/(1+13%)^3

PV = 27.05/(1.13)^3

PV = 27.05/1.442897

PV = 18.74701

PV = 18.75

D. The most you should pay for it :

= (1.50*1.06)/1.13^1+(1.5*1.06^2)/1.13^2+(1.5*1.06^3)/1.13^3+27.05/1.13^3

=22.71

E. Value = (1.50*1.06)/(13%-6%)

Value = 1.59 / 7%

Value = 1.59 / 0.07

Value = 22.714286

Value =22.71

F. No, the value is not dependent on the holding period, you can see from above that the value of infinite time period estimated in E equals to the value calculated when there was 3 years holding period.

5 0
2 years ago
Firm X is selling a vehicle with an MSRP of $30,000 and dealer discount of 10%. Unit cost is $20,000 and fixed costs are $1.4 bi
seraphim [82]

Answer:

Number of vehicles to be sold to reach break-even point is 200,000 unit

Explanation:

<em>Computation of Dealer’s Discount: </em>

Dealer  Discount = MSRP * Rate of Discount

=$30,000×10%

=$3,000

<em>Computation of net selling Price:  </em>

Net Selling Price = MSRP - Dealer ′ s Discount

=$30,000 - $3,000

=$27,000

<em>Computation of Contribution Margin:  </em>

Contribution Margin = Net Sales - Unit Cost

=$27,000 - $20,000

=$7,000

<em>Compute the number of units to reach break-even point for Firm X.</em>

Break-even point = Fixed cost / Contribution per unit

=$1,400,000,000  / $7,000

=200,000 units

​

Therefore, number of vehicles sold to reach break-even point is 200,000.

Nb: MSRP means manufacturer's suggested retail price

5 0
2 years ago
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