Answer:
= $52.78 per share
Explanation:
<em>The value of a business can be determined using the free cash flow model. According to this model, the value of a firm is is the present value of its free cash flow discounted at the weigthed average cost of capital (WACC.)</em>
<em>The value of equity is the value of firm less value of other instruments (e.g debt and preferred stocks)</em>
<em>Value of equity = Value of the entire firm - Value of debt </em>
We can work out the the value per share using the steps below:
<em>Step 1</em>
<em>Calculate the total value of the firm</em>
Value of firm = 27.50/(0.1-0.07)
= $916.66 million
<em>Step 2</em>
<em>Calculate the value of equity</em>
<em>Value of equity = Value of the entire firm - Value of debt</em>
= $916.66 million - $125.0 million
=791.666 million
<em>Step 3</em>
<em>Calculate the value per share</em>
Value per share = Value of equity/ units of common stock
=$791.666 million/15 million units
= $52.78 per share
Answer:
Consider the following explanation
Explanation:
I imagine that the social cultural measurement that can clarify this circumstance and how it played out is decisiveness. I imagine that emphaticness was utilized and can help this clarification since confidence is characterized as "managing the level of encounter and straightforwardness that is fitting and beneficial."
Now to China and Bo Chen, this could have come as being commonplace since they have a low-decisiveness culture contrasted with different nations. At the point when Judith calls him "Bo" rather than "Mr. Chen" it can be clarified as an indication of ease and put stock in originating from Judith. Individuals and societies with low confidence frequently utilize delicate and lovely dialect and stress correspondence and utilize agreeable dialect, for example, they did here.
The best social measurement & cultural dimension that best clarifies this circumstance is future introduction (FO). Future introduction is characterized as "includes how much societies will forfeit current needs to accomplish future needs."
For this particular circumstance, the organization Judith works for is seeking after a long haul association with Bo Chen's organization (Shunde Manufacturing Company). In doing as such, she needs to wind up versatile and trusted by Chen's organization, so the toast is an indication of regard despite the fact that her primary objective is to get serious, this a stage in traveling that way.
Answer:
$50
Explanation:
Dividend discount model (DDM) is used to calculate intrinsic value of a stock. Since the dividends are expected to grow indefinitely, the formula will be as follows;
Price (P0) = D1 / (r-g)
where D1 = Next year's dividend = 2.50
r = required rate of return = 12% or 0.12 as a decimal
g = dividend growth rate = 7%
Price (P0) = 2.50/(0.12-0.07)
P0 = 2.50 /0.05
P0 = $50
United States EmbassyUnited Postal ServiceMunicipal Taxation Department<span>Internal Revenue Service?
which one
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Explanation:
The journal entry to record the uncollectible is shown below:
On December 31
Bad debt expense $800
To Allowance for doubtful debts $800
(Being the bad debt expense is recorded)
The computation is shown below:
= Sales × estimated percentage - credit balance of doubtful accounts
= $280,000 × 0.5% - $600
= $1,400 - $600
= $800
