Answer:
$43.75
Explanation:
Dividend discount model with zero growth assumes that the Company shall continue to pay the same amount of dividend in infinity. The formula for calculating price of such stock is
Price = Annual Dividend / Discount rate
Price = $3.5 / 8%
Price = $43.75 / per share
Answer:
Explanation:
A journal entry is an accounting record of the business day to day activities in the accounting books of that particular business. An appropriately recorded journal entry comprise of the amounts to be debited and credited, correct date, the description of the transaction and a distinctive reference number.
The solution diagram to the question can be seen in the image below
Answer:
B) Direct materials are used to determine total inventoriable product costs.
Explanation:
Product costs includes direct materials, direct labor & manufacturing overhead.
This makes Choice B a description of direct materials in a manufacturing setting. All other choices are false.
Their is a chance to use direct labor as a basis for manufacturing overhead but not direct materials.
Direct materials can be separately and conveniently traced.
And finally, as stated above, direct materials are part of the finished product.
Answer : View an example.
Explanation : In the described learning aid steps which provides an interactive walk through for solving a particular problem that one is working on. By answering few questions to teach you the steps on how to reach to the final answer it is allowing you to solve a similar problem. So, the correct option is View an example.
Answer:
a. Levered beta = unlevered beta * ( 1 + (1-tax rate)*D/E ) = 1.2 * (1 + ( 1 - 0) * (40/60) ) = 2.0
