Dividends at FSL are expected grow at a rate of negative 5.4% per year (the dividends are getting smaller). The stock just paid a dividend of $3.93 per share, and investors require a return of 13% to invest in the company. What is the expected price of the stock next year?

Answers

Answer 1

Answer:

$21.37

Explanation:

g = -5.4%

D0 = $3.93

D1 = D0 (1+g)

D1 = 3.93*(1-0.054)

D1 = 3.93*0.946

D1 = 3.71778

Investors require a return (ke) of 12%

P0 = D1/(ke - g)

P0 = 3.71778 / (12% - (-5.4%)

P0 = 3.71778 / (12% + 5.4%)

P0 = 3.71778 / 17.4%

P0 = 3.71778 / 0.174

P0 = 21.3665517

P0 = $21.37

So, the expected price of the stock next year is $21.37.


Related Questions

A company possessing a ______ is proficient in altering and adjusting its resources and capabilities to remain competitive. Multiple choice question. dynamic capability cross-functional competence distinctive competence resource bundle

Answers

Answer:

dynamic capability

Explanation:

Dynamic capabilities can be regarded as the ability to integrate as well as build and reconfigure available resource base over time, so that changing environments can be responded to. As regards to

In organizational theory, dynamic capability demonstrate capability of a particular organization to adapt to an organization's resource base purposefully. It should be noted that company possessing a dynamic capability is proficient in altering and adjusting its resources and capabilities to remain competitive

Explain the concept of the voice of the customer (VOC). Why would a clear VOC process be important in the supplier to receiving organization relationship

Answers

Answer:

See the explanation below.

Explanation:

a. Explain the concept of the voice of the customer (VOC).

Voice of the customer (VOC) can be described as a detailed process of collecting data on expectations, preferences, and aversions of a customer.

VOC means emphasizing the consumer, their opinions, experiences, and input about the brand of a company.

b. Why would a clear VOC process be important in the supplier to receiving organization relationship?

Voice of Customer process gives a company the opportunity to listen to each customer, act on their feedback, and analyze the data to improve operations. Therefore, the company would be able to avoid potential problems for future customers by being attentive and responsive, and it can obtain immediate benefit from customers who provide positive feedback.

The ability to measure a customer's experience at important touch points in real time is one of the key advantages of VOC process. Therefore, one of the best things a company can do is just ask its customers what they want and create a relationship from there.

has the following production data: beginning work in process 25200 units (70% complete), started into production 474000 units, completed and transferred out 449700 units, and ending work in process 49500 units (30% complete). Assuming all materials are entered at the beginning of the process, equivalent units of production for materials are:

Answers

Answer:

Equivalent units of production= 474,000

Explanation:

To calculate the equivalent units of production, we need to use the following formula:

Units started and completed in the period + Equivalent units in ending inventory WIP (units*%completion) = Equivalent units of production

Equivalent units of production= 424,500 + (49,500*1)

Equivalent units of production= 474,000

As direct material is incorporated at the beginning of the period, its completion is 100%.

what is a marginal cost?​

Answers

The cost added by producing one additional unit of a product or service

2. A farmer bought cylindrical bales of Lucerne at a price of R350/bale for his heard of
1500 dairy cows.

i.
Determine the number of bales he needs for winter season (3months) if the
cows consume 2bales
per week.

Answers

Answer:

36,000

It's because 2×4=8×3=24×1500=36,000

Problems and Applications Q8 Suppose that the government decides to issue tradable permits for a certain form of pollution. In terms of economic efficiency in the market for pollution, having the government auction the permits off is distributing them to firms. True or False: If the government chooses to distribute the permits, the allocation of permits among firms does not matter for efficiency, but it would affect the distribution of wealth. True False

Answers

Answer:

1. False

2. True

Explanation:

Tradable permits issued to firms, there will be no effect on economic efficiency for the market of pollution permit. The revenue of government will be increase by selling and auctioning those permits.

Giả sử Công ty TNHH Đông Đô mua 1 bản quyền công nghệ
sản xuất dứa quả xuất khẩu của Nhật Bản với giá là 500.000USD (tỷ
giá 16.000VNĐ/USD) tính ra bằng 800 triệu VNĐ, thanh toán theo
hình thức thư tín dụng (L/C) thông qua Ngân hàng Ngoại thương Việt
Nam, thuế nhập khẩu 10% và thuế GTGT hàng nhập khẩu 10%. Công
ty đã nộp các khoản thuế trên bằng chuyển khoản. Chi phí đăng ký
pháp lý liên quan đến bản quyền công nghệ trong nước là 16,5 triệu đã
trả bằng tiền mặt (thuế GTGT 10%). Biết rằng doanh nghiệp thực hiện
tính nộp thuế GTGT theo phương pháp khấu trừ.
Yêu cầu : Xác định nguyên giá TSCĐ vô hình vừa mới được mua
(Biết rằng TSCĐ vô hình được đưa vào sử dụng ngay)

Answers

Answer:fjdkndnfnf

Explanation:bfnfnndndnfnfnwd

Suppose the current level of output is 5000. If the elasticities of output with respect to capital and labor are 0.3 and 0.7, respectively, a 10% increase in capital combined with a 5% increase in labor and a 5% increase in productivity would increase the current level of output to :_______

Answers

Answer:

5575

Explanation:

The computation is shown below;

Factor      Elasticity          Increase        Effective Increase

                      A                        B      A × B

Capital      0.3                                 10%      3.00%

Labor        0.7                                  5%       3.50%

Increase due to Productivity                      5.00%

Total Increase in Output                             11.50%

(3% + 3.5% + 5%)  

Original Output                                              5000

Increase in Output (5000 × 11.5%)                 575

Increase Output (5000 + 575)                      5575

If the company repaid the loan in a lump sum amount after 2 years, what was the amount of the payment

Answers

Answer:

The correct answer is "$2.18 million".

Explanation:

The given problem seems to be incomplete. The attachment of the complete question is attached below.

Given that,

Principle,

= 1.8 million

Interest rate,

= 10%

Number of years,

= 2 years

Now,

The factor will be:

= [tex](1+0.10)^2[/tex]

= [tex](1.1)^2[/tex]

= [tex]1.21[/tex]

hence,

The amount of payment will be:

= [tex]Principle\times factor[/tex]

= [tex]1.8\times 1.21[/tex]

= [tex]2.18 \ million[/tex]

Rules of Debit and Credit The following table summarizes the rules of debit and credit. Indicate whether the proper answer is a debit or a credit. Increase Decrease Normal Balance Balance sheet accounts: Asset Credit Liability Credit Stockholders' equity: Common Stock Credit Retained Earnings Credit Dividends Debit Credit Income statement accounts: Revenue

Answers

The table represents the normal debit balance of the following accounts also the increment or decrement related to these accounts is as follows:

The following information should be considered:

The asset, dividend & expenses contains the normal debit balance. And, the liability & equity should contain the normal credit balance.

Particulars                  Increase    decrease     normal balance

Asset                          debit           credit            debit

liability                        credit         debit             credit

common stock          credit         debit             credit

retained earnings      credit         debit             credit

dividend                      debit           credit            debit

revenue                    credit         debit             credit

expense                     debit           credit            debit

In this way, the above table should be presented.

Learn more about the debit here: brainly.com/question/12269231

help please!!

46. To find the net worth of a company, liabilities are subtracted from assets.

True

False

Answers

I think that’s true but I’m not sure

MC Qu. 93 Job A3B was ordered by a customer on... Job A3B was ordered by a customer on September 25. During the month of September, Jaycee Corporation requisitioned $3,000 of direct materials and used $4,500 of direct labor. The job was not finished by the end of the month, but needed an additional $3,500 of direct materials and additional direct labor of $7,500 to finish the job in October. The company applies overhead at the end of each month at a rate of 200% of the direct labor cost incurred. What is the balance in the Work in Process account at the end of September relative to Job A3B

Answers

Answer:

$16,500

Explanation:

Note: Work In Process simply mean the cost of Job which is not complete.

Work In Process = Direct Materials + Direct Labor + Overhead Cost

Work In Process = $3,000 + $4,500 + ($4,500*200%)

Work In Process = $3,000 + $4,500 + $9,000

Work In Process = $16,500

So, the balance in the Work in Process account at the end of September relative to Job A3B is $16,500.

The Silver Corporation uses a predetermined overhead rate to apply manufacturing overhead to jobs. The predetermined overhead rate is based on labor cost in Dept. A and on machine-hours in Dept. B. At the beginning of the year, the Corporation made the following estimates: Dept. A Dept. B Direct labor cost $ 60,000 $ 40,000 Manufacturing overhead $ 90,000 $ 45,000 Direct labor-hours 6,000 9,000 Machine-hours 2,000 15,000 What predetermined overhead rates would be used in Dept. A and Dept. B, respectively? Question 8 options: A) 67% and $5.00 B) 150% and $3.00 C) 67% and $3.00 D) 150% and $5.00 7 of 8 questions saved

Answers

Answer:

B. 150% and $3

Explanation:

Department A

= Manufacturing overhead × 100 / Direct labor cost

= $90,000 × 100 / $60,000

= 150%

Department B

= Manufacturing overhead / Machine hour

= $45,000 / 15,000

= $3 per machine hour

Hence, the predetermined overhead rate used in Department A = 150% , Department B = $3

In June, an investor purchased 200 shares of Oracle (an information technology company) stock at $37 per share. In August, she purchased an additional 270 shares at $36 per share. In November, she purchased an additional 490 shares at $41 per share. What is the weighted mean price per share

Answers

Answer:

the  weighted mean price per share is $38.76

Explanation:

The computation of the weighted mean price per share is given below:

= (200 shares × $37 per share + 270 shares × $36 per share + 490 shares × $41 per share) ÷ (200 shares + 270 shares + 490 shares)

= ($7,400 + $9,720 + $20,090) ÷ (960 shares)

= $37,210 ÷ 960 shares

= $38.76

Hence, the  weighted mean price per share is $38.76

Answer:

Average price of share = $38.76 (Approx.)

Explanation:

Given:

Shares investor purchase = 200 shares

Share price = $37

Additional share = 270 at $36

Additional share = 490 at $41

Find:

Weighted mean price per share

Computation:

Average price of share = Total price / Total number of shares

Average price of share = [(200)(37) + (270)(36) + (490)(41)] / [200 + 270 + 490]

Average price of share = [(7,400) + (9,720) + (20,090)] / [960]

Average price of share = $38.76 (Approx.)

Copper alloy products shipped to manufacturers are supplied in the __________ condition when maximum strength is required.

Answers

Answer: Fully Annealed condition.

Explanation:

Annealing is a heating process in which physical and sometimes chemical properties of material are altered. This process increases the ductility and reduces hardness of material, resulting in increase of the material strength.

Which of the following statements is an example of wording that might be included in an
informative advertisement?

a. Machine washable
b. The route to good health
c. Used by the "Whatsit" pop group
d. To keep you young and beautiful

Answers

Answer:

a. Machine washable

Explanation:

An informative advertisement is an advert focused on being fact based, unbiassed and accurate. An advert is of the informative form, when it only makes reference to the attributes, advantages, and the tasks the service or goods can do well, in place of making use of emotions to persuade a consumer into purchasing a commodity

From the given options, the statement which is an example of wording that might be included in an informative advertisement is option a. 'Machine washable', because it refers to the strength of the goods which as stated, can be washed with a washing machine

describe the importance of administrative office management

Answers

Answer:

Office management helps to maintain a close relationship between different department of people. It regularly supplies order,command and instruction to different people.It oerformsvarious function like planning , organising,controling, staffing,supervising, motivating,and effective leadership.

Explanation:

i hope this will help you

In ____ price discrimination, the monopolist charges each consumer the highest price that purchaser is willing to pay for each unit purchased

Answers

Answer:

Perfect price discrimination

Explanation:

Perfect price discrimination or first degree discrimination is defined as one in which the maximum price possible is charged for each unit of product sold to the customer.

This is aimed at capturing all consumer surplus for the monopoly.

This can occur for example in cases where the zip code of clients is located in an area where wealthy people reside.

The monopolist can charge the highest possible price based on the location.

Lesco's is evaluating a project that has a different level of risk than the overall firm. This project should be evaluated: Group of answer choices

Answers

Answer:

3. using a beta commensurate with the project's risks.

Explanation:

In the case when the project is evaluated so there is the different type of the risk instead of the total firm so here the project should be evaluated via beta commensurate alonhg with the risk of the project. As each and very project has the different level of risk also there is a different between the beta as if we compared to the beta of the market, beta of the firm etc

Hence, the above represent the answer

Private property Multiple Choice does not apply to patents and copyrights. encourages investment since people know what they own can't just be taken away from them. does everything indicated in the other choices. discourages exchange since people must get government approval before selling their property.

Answers

Answer:

encourages investment since people know what they own can't just be taken away from them.

Explanation:

Private property can be described as property that is owned by an individual or group of individuals rather than by the government.

Examples of private property

real estate objects - jewellery, cars, clothespatents copyright

Advantages of private property

it gives man the incentive to work and encourages investment so as to amass properties

The process for converting present values into future values is called________________.

Answers

Answer:

Compounding.

Explanation:

Compounding is typically an accounting process used for the conversion of present values of an asset, investment or money into future values.

Generally, a compound interest is calculated based on the interest rate on a loan, principal and the accumulated interest gained from previous periods. This interests is compounded for a certain number of times such as daily, weekly, quarterly or annually.

Mathematically, to find the future value from the present value of an asset or investment, we would use the compound interest formula;

[tex] A = P(1 + \frac{r}{n})^{nt}[/tex]

Where;

A is the future value. P is the principal or starting amount. r is annual interest rate. n is the number of times the interest is compounded in a year. t is the number of years for the compound interest.

Machines J and K have the following investment and operating costs: Year 0 1 2 3 J 11000 1200 1300 K 13000 1200 1300 1400 Which machine is a better buy at a WACC of 10.5%

Answers

Answer:

Machine K

Explanation:

The values can be better computed as:

 Year     0          1           2         3

J         11000   1200      1`300

K         13000   1200     1300    1400

Using the PV Calculator

The Present Value (PV) for each year in Machine J is as follows:

Cashflow    Year      Present Value

11000           0             11000

1200             1              1085.97

1300             2              1064.68

Total                            13,150.65

The effective annual cost = [tex]\dfrac{NPV\times r}{1-(1+r)^{-n}}[/tex]

[tex]=\dfrac{13150.65 \times 0.1050}{1-(1+0.1050)^{-2}}[/tex]

= $7628.16

Using the PV Calculator

The Present Value (PV) for each year in Machine K is as follows:

Cashflow    Year      Present Value

13000           0             13000

1200             1              1085.97

1300             2             1064.68

1400             3             1037.63

Total                            16,188.28

The effective annual cost = [tex]\dfrac{NPV\times r}{1-(1+r)^{-n}}[/tex]

[tex]=\dfrac{16188.28 \times 0.1050}{1-(1+0.1050)^{-3}}[/tex]

= $6566.92

Therefore, machine K is better to buy than machine J.

The discount rate is the interest rate banks charge their best customers. the interest rate banks charge each other for overnight loans. the interest rate the U.S. Treasury pays on Treasury Bills. the interest rate the Fed charges to banks for loans from the Fed.

Answers

The interest rate banks charge each other for overnight loans.

On June 25, Ritts Roofing extended an offer of $250,000 for land that had been priced for sale at $300,000. On July 9, Ritts accepted the seller’s counteroffer of $275,000. On October 1, the land was assessed at a value of $280,000 for property tax purposes. On December 22, Ritts was offered $305,000 for the land by a national retail chain. At what value should the land be recorded in Ritts Roofing's records? $ fill in the blank 1

Answers

Answer:

$275,000

Explanation:

The computation of the value that should the land be recorded is shown below:

= Value at which rits accepted the counteroffer of the seller

= $275,000

Hence, the alue that should the land be recorded is $275,000

Basically it records the cost value as per the cost concept

The same should be considered

Describe the key stages in integrating total quality management into the strategy of an international petrochemical company

Answers

Answer:

Total quality management (TQM) describes a management approach to long-term success through customer satisfaction. In a TQM effort, all members of an organization participate in improving processes, products, services, and the culture in which they work.

Explanation:

If my answer is incorrect, pls correct me!

If you like my answer and explanation, mark me as brainliest!

Which of the following costs is not a component of manufacturing overhead of a bicycle manufacturer? Group of answer choices Indirect materials. Factory utilities. Bicycle wheels. Indirect labor. Property taxes on the manufacturing plant. g

Answers

Answer:

Bicycle wheels

Explanation:

The following cost should be classified as the manufacturing overhead

1. Indirect materials

2. Indirect labor

3. Factory utilities

4. Property taxes

but the bicycle wheels should not be classified as the manufacturing overhead as it the direct material that directly related to the product

Therefore the bicycle wheel should be relevant

Crossfade Corp. has a bond with a par value of $2,000 that sells for $1,956.84. The bond has a coupon rate of 6.84 percent and matures in 24 years. If the bond makes semiannual coupon payments, what is the YTM of the bond

Answers

Answer:

Semestral rate= 3.51%

Annual rate= 7.02%

Explanation:

Giving the following information:

Par value= $2,000

Present value= $1,956.84

Coupon= (0.0684/2)*2,000= $68.4

Number of periods= 24*2= 48 semesters

To calculate the YTM, we need to use a financial calculator:

Function= CMPD

n= 48

I%= SOLVE = 3.51%

PV= 1,956.84

PMT= -68.4

FV= -2,000

Semestral rate= 3.51%

Annual rate= 3.51*2= 7.02%

Huprey Co. is the defendant in the following legal claims. For each of the following claims, indicate whether Huprey should (a) record a liability, (b) disclose in notes, or (c) have no disclosure.

Answers

Answer:

Record a liability.Disclose in notes.Have no disclosure.

Explanation:

A contingent liability should only be recorded if the likelihood of it happening is known and the value can reasonably be estimated.

In the first scenario, it is likely that Huprey will lose so the likelihood is known. The value can also be reasonably estimated to be $1,070,000 so this should be recorded as a liability.

In the second scenario, the likelihood is known but the value cannot be estimated. In such a case, simply disclose this possibility in the notes of the financial statement.

For the third scenario, the possibility of the liability being incurred is remote so there is no need to either record or disclose the liability.

If total rent expense of $180,000 is allocated on the basis of square footage, the amount allocated to the Small Department would be ________.

Answers

Answer: $50625

Explanation:

Based in the information above, the amount that's allocated to the Small Department will be:

Square footage of small department = 6750

Total square footage = 6759 + 17250 = 24000

Luzent rent expense allocated to small department will be:

= 6750/24000 × $180000

= $50625

When Alice started working, she has decided to deposit $250 a pay check into a savings account that earns an interest of 1% per month. She gets paid on the last day of every month. Which of the following expression may be used to determine the account value 10 years from now?

a. F= [250/0.01] (F/P, 1%, 60)
b. F = 250[(P/A, 1%, 120) (F/P, 12%, 5)]
c. F= 250(F/A, 1%, 120)
d. F = [3,000(P/A, 12%, 10)] [(F/P, 12%, 10)]

Answers

Answer:

The correct option is c. F= 250(F/A, 1%, 120).

Explanation:

Since she gets paid on the last day of every month, implies we are to the determine the future value (F) of an ordinary annuity. Therefore, the original expression for the future value (F) of an ordinary annuity is as follows:

F= A(F/A, i, n) …………………. (1)

Where:

F = Future value

A = Periodic or monthly amount = $250

F/A = Convert A to F

i = monthly interest rate = 1%

n = number of months = Number of years * number of months in a year = 10 * 12 = 120

Substituting the values into equation (1) except F/A, we have:

F= 250(F/A, 1%, 120) …………………… (1)

Therefore, the correct option is c. F= 250(F/A, 1%, 120).

Note:

Note that inputting equation into a scientific calculator will give the following future value (F):

F = $57,509.67

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Find the slope of the line whose equation is y = 2x 1 Drag each label to the correct location on the image.Alan is converting large and small numbers from standard notation to scientific notation. Group the numbers according to their powers of 10.2,930,0000.00065,000,0000.000594,030,0000.0001210610-4 what is 55+55 fassttt!!!!!!!!! Heelllllllllpppppppp meeeeeeee Did mikhail Gorbachev and deng xiaoping have in common Uhhhh If you need c and d ask me Assume the average height for American women is 64 inches with a standard deviation of 2 inches. A sorority on campus wonders if their members have a different height, on average, from the population of American women. The mean height of group, which includes 25 members, is 65 inches.A) Calculate the standard error for the distribution of means.B) Calculate the z statistic for the sorority group.C) What is the approximate percentile for this sample? Enter as a whole number.D) If the sorority actually had 36 members (still with an average of 65 inches), would you expect the percentile value to increase or decrease? why? gii pt x^{2} +X-1=0 Name two features of a tall tale. Select the correct answer.A sole proprietor is a business owner with _____.A. A limited liability companyB. An unincorporated businessC. Business partnersD. A commercial lease i need help on this pls help me on this maths Hey! Can someone help me find the value of x please!!!!! it's my last question! how do i answer on the subjects L 2.4.3 Test (CST): World War IIQuestion 14 of 17Which sentence contains the best example of paradox? Graph the compound inequality on the number line. x 3= 3 Cual eleccin mejor resume el resultado del experimento de Redi?Redi defini con precisin la palabra vivo.Redi refut la generacin espontnea.Redi demostr que las moscas provienen de carne podrida.Redi demostr que los seres vivos pueden provenir de cosas no vivas.DONE how long does it take for a ziploc to biodegrade Subtract. Write your answer in simplest form List three historical issues that have been used to debate the different interpretations of the Constitution. There are two interpretations: Loose constructionism and Originalism.Loose Constructionism - A document does not mean the same thing as when it was written for the purpose of keeping it up to date. The meaning of the constitution changes.Originalism - A document means the same thing today as it did when it was written. It has not been changed to keep up with the times. Keep the original intent. Select all the correct answers.Imagine that a strong foreign navy had blocked the ports near Rome. What would have likely been the biggest concern to the people of Rome? The city of Rome could run out of grain bought from across the sea. The city of Rome would be defenseless because the Roman army was far away. The trade in exotic goods from Carthage and Spain would be disrupted. The soldiers in the Roman colonies in Spain and Gaul could desert the army. The Roman government would run out of silver and bronze to make coins.