Last year artworks inc paid a dividend of 350 you

Assignment Help Finance Basics
Reference no: EM13477509

Last year Artworks, Inc. paid a dividend of $3.50. You anticipate that the company's growth rate is 10 percent and have a required rate of return of 15 percent for this type of equity investment.

What is the maximum price you would be willing to pay for the stock?

Reference no: EM13477509

Questions Cloud

A firm has assets of 60000 and owners equity of 33000 which : 1. which of the following would result in a decrease in cash flow and a use of cash?a. a decrease in notes payable b.
Understand some of the fundamental laws of nature regarding : note you must have the starry night and mastering astronomy access codes that come with the text sold in the sfcc
Write a code of ethics and establish an ethics policy for : write a code of ethics and establish an ethics policy for pac. include plans fornbsp implementation. many organizations
Which of the following is a reason why an expertise in : 1 which of the following is a reason why an expertise in international finance is important?a because the process of
Last year artworks inc paid a dividend of 350 you : last year artworks inc. paid a dividend of 3.50. you anticipate that the companys growth rate is 10 percent and have a
The board suppose bonus must stay same but mary knows : mary has been working for a university for almost 25 years and is now approaching retirement. she wants to address
1 what should be done in light of low sales numbers 2 what : 1. what should be done in light of low sales numbers?2. what should be done if anything about the fraudulent sales
What are the components and network infrastructure and end : 1. please write a three page paper on the designbuild of a computer network within a hospital in relations to
What if the good mills dividend was merely 100 explain how : question your broker recommends that you purchase good mills at 30. the stock pays a 2.20 dividend which like its per

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the daily dollar return that could be earned

Average daily collections are $122,000, and the required rate of return is 5 percent per year. Assume 365 days per year. What is the daily dollar return that could be earned on these savings?

  Identify ethical actions

The net income of Simon and Hobbs, a department store, reduced sharply during 2000. Carol Simon, owner of the store, anticipates the required for a bank loan in 2001.

  What is the percent increase in the base

(a) What is the percent increase in the base? Round to the nearest hundredth percent. (b) What is Joe's increase in Social Security tax for the new year?

  What is the best estimate of the current stock price

The Ramirez Company's last dividend was $1.75. Its dividend growth rate is expected to be constant at 25% for 2 years, after which dividends are expected to grow at a rate of 6% forever. Its required return (rs) is 13%. What is the best estimate o..

  Financial markets are essential to the operation of our

1.the six core principles include all buta.time has valueb.risk requires compensationc.instability improves

  What is the new equity value of tyler on its balance sheet

Using fair value accounting for goodwill, under FAS 141R, determine the amount of goodwill that "the acquiring company" enters on its balance sheet in the following situation.

  Discussion typical reasoning

Discussion Typical Reasoning

  Leasing-taxes and time value of money

Describe why a financial lease represents the secured loan in which the lender's overall debt service stream is taxable as ordinary income to the lessor/lender.

  Describe various that you might take and their implications

Actions that you might take range from an outright sale of the stock (and the payment of capital gains tax)to doing nothing and continuing to hold the shares.

  By how much would inventories decline

The firm's new CFO believes that the company could reduce its inventory enough to reduce its ICP to the benchmarks' average. If this were done, by how much would inventories decline? Use a 365-day year.

  What is the inventory period

Wage Garnishers, Inc. has sales for the year of $50,300 and cost of goods sold of $23,700. The firm carries an average inventory of $4,800 and has an average accounts payable balance of $4,400. What is the inventory period?

  Computation of beta and asset beta

Computation of beta and asset beta and compute the beta of Compton Technology's debt by dividing the covariance of the debt's return

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