How much should the stock prices of a company be

Assignment Help Accounting Basics
Reference no: EM132716606

Normal Distribution

The average price of the shares owned by S & P500 is $ 30 and the standard deviation is $ 8.20 (BusinessWeek, Special Annual Issue, Spring 2003). Suppose the prices of shares are normally distributed.

Problem a) What is the probability that the price of a company's stock is at least of $ 40?

Problem b) That the price of a company's stock is not more than $ 20?

Problem c) How much should the stock prices of a company be to be between 10% top?

Reference no: EM132716606

Questions Cloud

Physical security-what is entry-control station : What are protective barriers, and what should they entail? What is the significance of access and corrective controls?
What the net cash provided by operating activities would be : What the net cash provided by operating activities would be reported at? Oriole Company reported net income of $529000 for the year ended 12/31/21
How many dollars would have to increase sales : By how many dollars would they have to increase sales in order to equal a 1.35% savings to purchasing expenses? (whole number.)
Differences between left and right wing extremism : Discuss the differences between left and right wing extremism. What is critical infrastructure and key resources?
How much should the stock prices of a company be : How much should the stock prices of a company be to be between 10% top? The average price of the shares owned by S & P500 is $ 30 and the standard deviation
What is the reason for the difference in operating income : What is the reason for the difference in operating income reported for the two levels of production by the absorption costing income statement
Why is the use of the item list important for a business : Item List and Report Customization, Why is the use of the item list important for a business? Why might a company want to customize its business forms?
Prepare an income statement according to absorption costing : Gallatin County Motors Inc. assembles and sells snowmobile engines. Prepare an income statement according to the absorption costing concept
Finthe liability that could arise as a result of the lawsuit : The liability that could arise as a result of this lawsuit should be recorded on XYZ's books if the probability of XYZ owing money as a result of the lawsuit is

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd