Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
The Bloomington Electric Company operates in a stable industry and therefore has predictable dividend growth of 8% per year. The most recent annual dividend was paid yesterday in the amount of $4. Assume the appropriate discount rate is 15%.
What is the current stock price?
Answer
a) Current Stock Price=Dividend Received/Dividend Growth Rate =4/.08 =50
b)
Year
Dividend
D.F
PV
1
4.8
0.869565
4.173913
2
5.76
0.756144
4.355388
3
6.912
0.657516
4.544752
4
86.4
0.571753
49.39948
62.47353
b) ividend for infinite stream at 8% from 4th year =Dividend of that year /Rate of dividend
=6.91/.08
=86.4
c) Dividend Yield =Dividend Received/Stock Price
=4/40
=10%
Behavioural Aspects of Standards Budgets and Standards rely heavily on the people who have to work to meet them. Since the detailed nature of standard costing and its involvem
how the NHS might use ABC to (a) produce ‘product costs’ for services, and to (b) evaluate the internal efficiency, quality and profitability per product or service line. Both bene
what is the direct cost
On January 1, 2013, VKI Corporation awarded 12 million of its $1 par common shares to key personnel, subject to forfeiture if employment is terminated within three years. On the gr
Example of Economic Order Quantity The EOQ model supposes : - Annual demand is recognized - Hold costs are constant and recognized - Ordering costs are recognized a
Occurrence of Overhead Variances Overhead variances arise mainly because of the conventions of the overheads absorption process. The overhead absorption rates employed in this
Variable Overhead Efficiency Variance Budget for December 2003; Shs. Fixed Overheads 11,480 Variable Over
Prod 400000 DM cost $3 DL 24 moh v 1.80 F 4.50 products 35000 DMP12000lb@$11/lb DM use10450lb DL38500HR 880500 v moh64150 FMOH152000
Using the information provided prepare the four financial statements for inclusion in Plantagenet Ltd's Annual Report dated at its balance date of 30th June 2011. The statement
Questions 8-10 rely on the following data. FrontGrade Systems allocates manufacturing over- head based on machine hours. Each connector should require 11 machine hours. According t
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd