Why does plowback ratio play pivot role

Assignment Help Business Economics
Reference no: EM133223112

Kraft Food current stock price is 53.50. Kraft Food ROE today is 13.25%. The Plowback ratio for Kraft Food is .375%. Three years later Kraft Food is being acquired by Heinz Ketchup. In an external audit it was found that out that Kraft food could no longer maintain a Plowback ratio of .375%. Kraft Food released the following new information ROE of 9.25%, payout ratio .275%, market rate of 7.15%.

What is the EPS and dividend growth in years 2-7?

What is the current stock price? Why does the plowback ratio play a pivot role?

Reference no: EM133223112

Questions Cloud

Within framework of oaxaca decomposition : Within the framework of the Oaxaca decomposition, the basic approach to analyzing whether there exists wage discrimination against women
Discuss how mental health court works : Discuss how mental health court works? Discuss potential outcomes and limitations associated with mental health court
Explain what fire is to them and how fires start and grow : You have been tasked with giving a presentation to a group of 10-year-old children. Explain what fire is to them and how fires start and grow
What challenges do you expect to face : What challenges do you expect to face when it comes to gathering the information needed to determine the custody level of the offenders
Why does plowback ratio play pivot role : What is the current stock price? Why does the plowback ratio play a pivot role? What is the EPS and dividend growth in years 2-7?
Describe the different types of multiple relationships : Describe the different types of multiple/dual relationships that can be engaged in by chemical dependency counselors
Computer equipment for upcoming municipal polls : An instant voting company needs to purchase new computer equipment for the upcoming municipal polls
Should a state be allowed to charge : Should a State be allowed to charge and convict a defendant for the same crime they were found not guilty of in another State or Federal Court? Why or why not
What attributes and fruits of the spirit : What attributes and fruits of the spirit does a poor attitude like donating money to be a Church Board member violate?

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

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