Answer:
$34.63.
Explanation:
The Gordon Dividend Discount Model will be used to calculate the current share price. This model helps us to determine how much should we pay for a stock and the analysis is based on dividends, growth rate, and our required rate of return. The model is as follows:
![Po = D1 / (1 + r )^1 + D2 / (1 + r )^2 + D3 / (1 + r )^3 + D4 / (1 + r )^4 + D5 / (1 + r )^5 + D6 / (1 + r )^6 + [(D7 / r - g) / (1 + r)^6]](https://tex.z-dn.net/?f=Po%20%3D%20D1%20%2F%20%281%20%2B%20r%20%29%5E1%20%2B%20D2%20%2F%20%281%20%2B%20r%20%29%5E2%20%2B%20D3%20%2F%20%281%20%2B%20r%20%29%5E3%20%2B%20D4%20%2F%20%281%20%2B%20r%20%29%5E4%20%2B%20D5%20%2F%20%281%20%2B%20r%20%29%5E5%20%2B%20D6%20%2F%20%281%20%2B%20r%20%29%5E6%20%2B%20%5B%28D7%20%2F%20r%20-%20g%29%20%2F%20%281%20%2B%20r%29%5E6%5D)
where
Po = Current market Price
D1 = Dividend Paid * (1 + g)
D2 = D1 (1 + g) ; D3 = D2 (1 + g) ; D4 = D3 (1 + g) ; D5 = D4 (1 + g)
D6 = D5 (1 + g) ; D7 = D6 (1 + g)
This implies that:
![Po = 2.7507 / (1.15)^1 + 2.8552 / (1.15)^2 + 2.9637 / (1.15)^3 + 3.0763 / (1.13)^4 + 3.1932 / (1.13)^5 + 3.3146 / (1.13)^6 + [(3.4405/.11 - .038) / (1.13)^6]](https://tex.z-dn.net/?f=Po%20%3D%202.7507%20%2F%20%281.15%29%5E1%20%2B%202.8552%20%2F%20%281.15%29%5E2%20%2B%202.9637%20%2F%20%281.15%29%5E3%20%2B%203.0763%20%2F%20%281.13%29%5E4%20%2B%203.1932%20%2F%20%281.13%29%5E5%20%2B%203.3146%20%2F%20%281.13%29%5E6%20%2B%20%5B%283.4405%2F.11%20-%20.038%29%20%2F%20%281.13%29%5E6%5D)
⇒ Current Market Price = $34.63.
Note: Figures are rounded up-to 4 decimal points. A difference of up-to $2 would not affect your scores as far as the methodology is correct.
Answer: Nominal interest rate.
Explanation:
Nominal interest rate is the interest rate before inflation is taken into account.
Nominal interest rate is also the advertised or interest rate stated on a loan, without adding any other fees or compounding the interest.
The nominal interest rate is quoted on bonds, loans etc. It is the advertised rate without taking into cognisance inflation, inflation, taxation and compounding interest.
Covers out of network doctors and specialists. Freedom to see more doctors.
Answer:
✔ Audio and Video Equipment Technician
✔ Broadcast Technician
✔ Film and Video Editor
✔ Sound Engineering Technician
Explanation:
Answer:
See the attached file below.
Explanation:
There's not much difference between IFRS and U.S. GAAP when it comes to business acquisition.
In accordance with IFRS, FB Corp. would do the following procedure:
(1) record the acquired assets and liabilities at fair value
(2) expense any acquisition related costs such as legal fees
(3) ignore post acquisition costs when determining the values at acquisition
(4) calculate goodwill as the difference between the net assets and the acquisition price less legal fees.
