Answer:
$44
Explanation:
Data provided in the question:
Dividend on Spirex Corporation's common stock = $4.00
Expected growth rate, g = 10%
Required rate of return, r = 20%
Now,
Price willing to pay =
here,
D1 = dividend at end of year
or
D1 = $4 × (1 + r )
or
D1 = $4 × ( 1 + 0.1 )
or
D1 = $4.4
Thus,
Price willing to pay =
or
Price willing to pay = $44
Answer:
A Journal Entry was Entered for Hanson Leasing Company on January 2, 2021, and Debit to right-of-use asset= 113767
Explanation:
Solution
Given that:
The Journal Entry of Hanson Leasing Company on January 2, 2012
Equal annual payments =240000
X PV Annuity Due 8%, 5 periods = 4.31213
Present value of Equal annual payments=1034911
Residual value=150000
X PV Single 8%, 5 periods=0.68508
Present value of residual value=102762
Present value of Equal annual payments=1034911
Add: Present value of residual value=102762
Debit to right-of-use asset= 113767
Answer:
0.55 million
Explanation:
The research cost that was spent on new products for new customer is 20% of $2.75 million.
Mathematically,
Cost Incurred on creating new product for new customer = $2.75m * 20%
= 0.55 million
Innovation , Creativity and Eye Catching and is the best way by which Divergence can be achieved.
Explanation:
1. Innovation- by understanding the new trends and customs in the market one have more diversified advertisement.
2. Creativity- More the creativity of the person , more audience can be targeted.
3. Eye Catching- Advertisement should be pleasing to attract the potential customers.
Example - "Apple" Its produced have been famous worldwide because of its innovation and creativity that sets it apart from the other competitors.