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Bezzdna [24]
2 years ago
15

Rahman stock just paid a dividend of $3.00 per share. Future dividends are expected to grow at a constant rate of 6% per year. W

hat is the value of the stock if the required return is 12%
Business
1 answer:
Veronika [31]2 years ago
6 0

Answer:value of stock for the required return of 12 % =  $53

Explanation:

Given

current dividend just paid = $3.00

dividend to grow at constant rate of 6%

required rate of return =12%

to calculate the value of stock for the requitred return of 12 % , we use the dividend growth model which is  

Current price = dividend ( 1 + growth rate )/ (required rate -growth rate )

                        = 3 x (1+6%) / 12-6 = 3 x 1.06 /6% =3.18/0.06=  $53

Therefore  value of stock for the requitred return of 12 % ,=  $53

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Flow Company has provided the following information for the year ended December 31, 2014:Cash paid for interest $20,000Cash paid
Rudik [331]

Answer:

The correct option is B,A net inflow of $2,000

Explanation:

The net cash flow  from investing activities is the cash dividends received minus cash paid for equipment purchase plus cash received from sale of land

Cash dividends received is $4,000

cash paid for equipment purchase is $27,000

Cash received from the sale of land is $25,000

Net cash flow from investing activities=$4000-$27,000+$25,000=$2000

The correct option ,therefore, is B, a net cash inflow of $2000 from investing activities

4 0
2 years ago
Uniform Supply accepted a $4,800, 90-day, 10% note from Tracy Janitorial on October 17. If the note is dishonored, but Uniform S
Vesna [10]

Answer:

Check the explanation

Explanation:

Solution: Journal entry for the purpose would be:

Cash A/c. Dr. 4920

Interest Revenue 20

Interest Receivable 100

Note Receivable. 4800

(Being due amount on note along with the interest collected)

Note:

Total interest on Note= 4800 x 10% x90/ 360 days

= $120

Interest accrued in previous year=$ 120 x 2.5/3 =$ 100

(i.e. represent in entry by way of interest receivable)

Interest income for current period =$(120-100)=$20

Assumed: Financial year ended on December 31st.

8 0
2 years ago
2. The managerial grid only provides a framework for conceptualizing leadership
Zepler [3.9K]

Answer:

The correct answer to the following question will be "True".

Explanation:

  • The managerial or management design model or principles seems to be a self-assessment tool that allows people and communities to probably decide the aesthetic of a manager or supervisor.
  • This proposed model described 5 various types of leadership styles premised on compassion for individuals and concern for manufacturing.

So that the given statement is true.

5 0
2 years ago
Teagan wants to buy a new refrigerator. The refrigerator costs $1650. Teagan decides to finance the refrigerator for 24 months a
sukhopar [10]

Answer:

$78.06

Explanation:

For computing the monthly payment we need to apply the PMT formula i.e. to be shown in the attachment below:

Given that,  

Present value = $1,650

Future value or Face value = $0

RATE = 12.5% ÷ 12 = 1.0416%

NPER = 24 months

The formula is shown below:  

= PMT(RATE;NPER;-PV;FV;type)  

The present value come in negative  

So, after applying the above formula, the monthly payment is $78.06

7 0
2 years ago
Jack and diane each buy pizza and paperback novels. pizza costs $3 per slice, and paperback novels cost $5 each. jack has a budg
gregori [183]

The correct answer is Jack.

The total cost of 5 slices of pizza and 3 paperback novels is calculated by this formula:

(5 x $3) + (3 x $5)=

$15 + $15 = $30

Since Jack has a budget of $30 and Diane has a budget of $15, only Jack can afford 5 slices of pizza and 3 novels.

7 0
2 years ago
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