Reference no: EM131796353
Question: Good Values Inc. is all-equity-financed. The total market value of the firm currently is $200,000, and there are 5,000 shares outstanding. Ignore taxes.
a. The firm has declared a $6 per share dividend. The stock will go ex-dividend tomorrow. At what price will the stock sell today?
b. At what price will the stock sell tomorrow?
c. Now assume that the tax rate on all dividend income is 35% and the tax rate on capital gains is zero. At what price will the stock sell, taking account of the taxation of dividends? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
Now suppose that instead of paying a dividend, Good Values plans to repurchase $20,000 worth of stock.
d. What will be the stock price before the repurchase?
e. What will it be after the repurchase?
f. Does the existence of taxes tend to favor dividends or repurchases?
What is the distribution of n
: a) What is the distribution of N? b) What is the distribution of Ni + Nj? c) What is the joint distribution of Ni, and n - Ni -Nj?
|
What is the amount of gross profit realized in year
: The property had cost $20,000 when it was purchased in 1998. Under installment-sale method, what is the amount of gross profit realized in year 2011
|
How do objectives align with achievement of goals
: It is essential that leaders are able to evaluate the outcomes of programs and projects. How do objectives align with achievement of goals?
|
Determine dividend per share paid on the stock
: If the company maintains a constant 4.5 percent growth rate in dividends, what was the most recent dividend per share paid on the stock?
|
At what price will the stock sell tomorrow
: Good Values Inc. is all-equity-financed. The total market value of the firm currently is $200,000, and there are 5,000 shares outstanding.
|
Exponential approximation to find a formula
: Assuming n is large, use an exponential approximation to find a formula for k in terms of n such that P(X > k) is approximately 1/2.
|
Would the histogram be a display of the population
: Would the histogram be a display of the population distribution, the distribution of a sample, or the sampling distribution of means?
|
Prioritized strategic planning process document
: Can you identify items in the prioritized strategic planning process document that are related to initiatives in the PI plan?
|
What is the probability that team a wins
: What is the probability that team A wins the world series, in terms of p and q?
|