Question 14 (2.5 points) On evaluating a project, adjusting the WACC upwards instead of adjusting the initial investment upwards to reflect the floatation costs violates the ______ OA) Risk-return relation B) Time value of money C) Stand-alone principle O D) Security pricing principle
Answers
When appraising a project, the risk-return relation is violated if the WACC is increased rather than the original investment to represent the flotation costs.
How Much Does Flotation Cost?A publicly traded firm incurs floatation costs when it distributes stocks or bonds and pays costs such underwrite fees, attorney costs, and fees paid. Businesses must take into account how these fees may affect the amount of cash they can collect via a new offering.
How do the costs of floating affect WACC?These fees will lower the net revenues from the sale of a new share, causing a higher cost of equity because of the flotation charges. As the expense of equity is a part of the weighted average costs of capital (WACC), it will consequently increase the WACC.
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Related Questions
Inventory is an
•expense
•asset
•neither
Answers
Mean for in grouped data
Answers
Answer:
To calculate the mean of grouped data, the first step is to determine the midpoint of each interval or class. These midpoints must then be multiplied by the frequencies of the corresponding classes. The sum of the products divided by the total number of values will be the value of the mean.
Ashley wants to increase the profits of her e-business. She recognizes that most online searchers click on links on the first search page, so she optimizes her website structure so that it ranks higher on a search. What strategy does this illustrate
Answers
Answer:
The strategy is Search Engine Optimization (SEO), an important strategy in digital marketing.
Explanation:
Search Engine Optimization (SEO) means optimizing the website structure, improve on keywords strategy and visual effects to increase the website's visibility, its ranking on search engine like google, bing, yahoo search .etc... and subsequently, push up the traffic volume to the website.
What is an advantage of hiring from within?
Answers
Explanation & Answer:
According to research, external recruiting may cost 1.7 times more than internal hiring. This is because, when employing internally, you generally do not need to: Post job postings on employment boards. Internal applicants can be easily informed about job opportunities via email or your company's internal publication.
Answer: It helps maintain employee morale
Explanation:
What amenities are included in a Coli Spaces co-living apartment?
Answers
Coli Spaces co-living apartments include amenities such as fully furnished rooms, shared living areas, high-speed internet, cleaning services, on-site laundry, utilities, security measures, and community events.
Coli Spaces co-living apartments offer a range of amenities to ensure a comfortable and convenient living experience. Some of the amenities included in a Coli Spaces co-living apartment are:
1. Fully Furnished Rooms: Each apartment is equipped with high-quality furniture, including beds, desks, chairs, and storage units, providing a ready-to-move-in experience.
2. Shared Living Areas: Residents have access to spacious and well-designed common areas such as living rooms, dining areas, and kitchen facilities. These spaces are thoughtfully furnished and encourage social interaction among residents.
3. High-Speed Internet: Coli Spaces provides fast and reliable internet connectivity, allowing residents to stay connected and work or study from home without any disruptions.
4. Cleaning Services: Regular cleaning services are provided to ensure that the common areas and shared facilities are well-maintained and hygienic.
5. On-site Laundry: Co-living apartments at Coli Spaces are equipped with laundry facilities, making it convenient for residents to do their laundry without leaving the building.
6. Utilities: Basic utilities such as electricity, water, and gas are included in the rent, simplifying the payment process for residents.
7. Security: Coli Spaces prioritizes the safety of its residents, and therefore, co-living apartments are equipped with security measures such as CCTV cameras, secure access systems, and on-site staff.
8. Community Events: Coli Spaces organizes community events and activities to foster a sense of belonging among residents, providing opportunities to socialize and network.
By providing these amenities, Coli Spaces aims to create a comfortable and inclusive co-living environment that meets the needs of modern urban dwellers.
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what is fashion sustainability
Answers
Answer:Sustainable fashion is a term describing products, processes, activities, and actors aiming to achieve a carbon-neutral fashion industry, built on equality, social justice, animal welfare, and ecological integrity. Sustainable fashion concerns more than addressing fashion textiles or products
Explanation:
please can see answer this fast. Briefly explain how the market mechanism relieves excess demand.
Answers
Answer:
The decrease in supply creates an excess demand at the initial price. a. Excess demand causes the price to rise and quantity demanded to decrease. ... A decrease in demand and an increase in supply will cause a fall in equilibrium price, but the effect on equilibrium quantity cannot be determined.
Hope it helps!!!
The __________ strategy involves deciding what goods and services the firm should offer to a group of consumers and also making decisions about customer service, brand name, packaging, labeling, product life cycles and new product development.
Answers
Answer:
a. trate
Explanation:
some trate is so much good then trote so yeah
. Discuss and Implement the Price Adjustment Strategies in current market. Apply each strategy with 3 examples along with picture.
Answers
Answer:
There are many different price adjustment strategies which can be implemented in the current market.
Explanation:
Psychological pricing:
Psychological pricing is a strategy in which the price of a product is displayed with mostly one cent difference so the whole number shown is less by $1 and this difference can get higher if the price of the product is more.
Example 1: The price for a toy in a toy shop is $4.99, if rounded this will be $5 but the whole number visible is $4.
Example 2: The price of a laptop is $193, this again is nearly $200 but the price is reduced by $7 in order to influence their customers into buying the product.
Example 3: The price of a car is $35,995, this again is about $36,000 but the buyer may be influenced by this technique and result in purchasing the product with such price.
Geographical Pricing:
Geographical pricing is a strategy where different prices are charged in different outlets, this strategy is made keeping in mind the purchasing power of the locality, if the local people can pay higher price for a product then the price is high there but same product may have a lower price in an area where people can not pay high price.
Example 1: Price of a T-shirt is $15 in a posh area while the price of the same T-shirt is $5 in an area with poor locality.
Example 2: Price of a hair brush is $10 in a poor area while the same brush is available in a posh area at a rate of $35.
Example 3: Price for a food item is $6 in a restaurant in posh area while the same burger is available for $3 in a restaurant in a poor area.
I need help with this question
Answers
Answer:
obstacles - provide a challenge
Use the data table to answer the question that follows.
An investor's primary concern with adding a new stock to their portfolio is reducing risk. Which stock should they choose and why?
(A) Stock A, because it has a div value of 0 and a relatively high P/E ratio
(B) Stock A, because its last price indicates slow but steady growth to come
(C) Stock C, because its lower P/E ratio means it is least likely to fail
(D) Stock C, because its price spread and div suggests stability of earnings
Answers
An investor's primary concern with adding a new stock to their portfolio is reducing risk. The stock they should choose is Stock C, because its price spread and div suggest stability of earnings. The correct option is d.
Portfolio diversification is the process of selecting a variety of investments within each asset class, which can help those looking for how to minimize their investment risk. Diversification across asset classes may also help lessen the impact of major market swings on your portfolio.
If we were to invest in the stock of just one company, we'd be taking on greater risk by relying solely on the performance of that company to grow your investment. This is known as "single-security risk" the risk that our investment will fluctuate widely in value with the price of one holding.
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rising of inflation rate is under which PESTLE element
Answers
Answer:
Rising inflation rate is under Economic element of PESTLE.
Explanation:
The elements of PESTLE include Political, Economic, Sociological, Technological, Legal, and Environmental factors. PESTLE analysis is used to analyze and monitor macro-environmental factors which can impact the survival and success of a business entity. After the analysis, the organization is able to identify the opportunities and threats facing it from the external environment.
Question 3 of 10
What is an advertising campaign?
A. A method of finding customers according to particular
characteristics
B. A set of games customers receive for free when they buy certain
products
C. An electronic device that enables customers to interact with an
advertisement
D. A series of product-related activities designed to get the attention
of customers
Answers
An advertising campaign is a series of product-related activities designed to get the attention of customers. Option D
What is an advertising campaign?An advertising campaign is a series of product-related activities designed to get the attention of customers. It involves the creation and dissemination of advertising messages through various channels such as TV, radio, print, online and social media, with the goal of promoting a product, service or brand to a specific target audience.
The campaign typically has a specific objective and a set budget and may run for a defined period of time.
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)A stock is expected to pay a dividend of $1 per share in two months and in five months. The stock price is $50, and the risk-free rate of interest is 8% per annum with continuous compounding for all maturities. An investor has just taken a short position in a six-month forward contract on the stock. The forward contract is initiated today.
(1) the forward price of the forward contract is $_____ (保留四位小数)
(2) the initial value of the forward contract is $_____ (保留四位小数)
(3) Three months later, the forward price of the stock is 47.9699 for the same forward contract and the risk-free rate of interest is still 8% per annum. The value of the short position in the forward contract is $_____(保留四位小数)
Answers
2. The initial value of the forward contract is zero
3. In three months the value of the short position in the forward contract is $47.96
In its first month of operation, Ivanhoe Company purchased 320 units of inventory for $5, then 420 units for $6, and finally 360 units for $7. At the end of the month, 400 units remained. The company uses the periodic method. Compute the amount of phantom profit that would result if the company use FIFO rather than LIFO.
Answers
Answer:
If the company uses FIFO method, the cost of goods sold is lower increasing the gross profit. In this case, income will increase by $680.
Explanation:
Giving the following information:
purchases:
320 units of inventory for $5
420 units for $6
360 units for $7
At the end of the month, 400 units remained.
First, we need to determine the number of units sold:
Units sold= total units - ending inventory
Units sold= 1,100 - 400= 700
Now, we calculate the cost of goods sold using LIFO (last-in, first-out) and FIFO (first-in, first-out)
LIFO:
COGS= 360*7 + 340*6= $4,560
FIFO:
COGS= 320*5 + 380*6= $3,880
Finally, the difference:
Difference= 4,560 - 3,880= $680
If the company uses FIFO method, the cost of goods sold is lower increasing the gross profit. In this case, income will increase by $680.
Write a 1-page memo to the CEO. Include each chart (3) and a paragraph per chart. Each paragraph should explain the story of each visualization and explain why visualizations are important.
STEP 2
Income CATEGORIES PERCENTAGE NUMBER
$100,000 to $124,999 8% 2
$125,000 to $149,999 4% 1
$20,000 to $24,999 4% 1
$25,000 to $34,999 29% 7
$35,000 to $49,999 13% 3
$50,000 to $74,999 17% 4
$75,000 to $99,999 21% 5
Decline to answer 4% 1
24
STEP 3
GENDER PERCENTAGE NUMBER
Female 54% 13
Male 46% 11
24
STEP 4
QUESTION RESPONSES PERCENTAGE NUMBER
0 6% 1
2 11% 2
5 28% 5
6 11% 2
7 17% 3
8 11% 2
9 6% 1
10 11% 2
18
Answers
Answer:
[Your Name]
[Your Position]
[Date]
Subject: Insights from our Survey - A Window into the Lives of our Valued Customers
Dear [CEO's Name],
I hope this message finds you well. I wanted to take a moment to share some fascinating insights from the recent survey we conducted among our cherished customer base. To make the data more relatable and easier to grasp, I have transformed the findings into a series of engaging visualizations. These visuals not only bring the data to life but also allow us to truly connect with our customers on a human level. Let's dive into the story behind each visualization and explore why these visual representations are crucial in understanding our customers.
Chart 1: Income Categories - Reflecting the Lives of our Customers
This insightful chart provides a glimpse into the diverse income categories of our survey respondents. As you observe the bars rise and fall, you can visualize the financial landscapes our customers navigate. From the bustling middle-income group, representing 29% of respondents, to the resilient individuals in the $75,000 to $99,999 range, accounting for 21% of participants, we gain an intimate understanding of the financial tapestry that influences their decisions.
By presenting this information in such a humanized manner, we can empathize with the varying needs and aspirations of our customers. This visualization guides us in tailoring our products and services to better address the unique challenges and aspirations of each income segment.
Chart 2: Gender Distribution - Celebrating Diversity and Inclusion
This delightful pie chart celebrates the diversity among our survey participants by highlighting their gender identities. As you glance at the vibrant slices, you witness the vibrant mosaic of our customer base. With 54% of respondents identifying as female and 46% as male, we recognize the importance of inclusivity and strive to ensure our products and services cater to the needs and desires of all genders.
Visualizations like this one allow us to see the human faces behind the data. It reminds us to embrace diversity and equality in our business operations, ensuring that every customer feels heard and valued.
Chart 3: Question Responses - Unveiling Our Customers' Voices
Within this insightful bar chart, we uncover the authentic voices of our customers through their responses to a specific question. The bars rise and fall, revealing the choices they made and their preferences. The most popular response, "5," chosen by 28% of participants, demonstrates the collective sentiment that echoes among our customers. As we observe the varying heights of each bar, we gain a deeper understanding of their thoughts and desires.
Visualizations like this empower us to hear our customers' voices loud and clear. By listening attentively to their responses, we can make informed decisions that resonate with their needs, aspirations, and desires.
In summary, these captivating visualizations humanize our survey data, enabling us to truly connect with our customers and gain invaluable insights. By considering the stories behind each chart, we ensure that our strategies, products, and services align with their lived experiences. Together, we can build lasting relationships, foster inclusivity, and deliver the exceptional experiences our customers deserve.
Thank you for your time and attention. Should you have any questions or require further information, please don't hesitate to reach out.
Warm regards,
[Your Name]
[Your Position]
Explanation:
17. Why is it important to identify the stakeholders of a business? In your own words
Answers
define central bank.
Answers
Answer:
An institution that manages the currency and monetary policy of a state of formal monetary union and over sees a banking system. The Federal Reserves are in control of these banks
Explanation:
Good luck
You are given the following information for Dawn Corp.:
Decrease in inventory $ 550
Decrease in accounts payable 225
Increase in notes payable 210
Increase in accounts receivable 240
Answers
Question Completion:
Did cash go up or down? By how much?
Answer:
Dawn Corp.
The cash increased by $295.
Explanation:
a) Data and Calculations:
Decrease in inventory $ 550
Decrease in accounts payable -225
Increase in notes payable 210
Increase in accounts receivable -240
Increase in cash balance = $295
b) A decrease in inventory and an increase in notes payable sources of cash inflow. On the other hand, a decrease in accounts payable and an increase in accounts receivable are sources of cash outflow.
highlight four ways in which business risk may be classified
Answers
Answer:
Business risk usually occurs in one of four ways: strategic risk, compliance risk, operational risk, and reputational risk.
Explanation:
What are the three classes or elements of Real Property
Answers
Real property is the land, everything that is permanently attached to the land, and all of the rights of ownership, including the right to possess, sell, lease, and enjoy the land. Real property can be classified according to its general use as residential, commercial, agricultural, industrial, or special purpose. In order to understand if you have the right to sell your home, you need to know which rights you possess—or don't possess—in the property. Mare me as brainliest
Create Transactions, a Deposit and a Report
In this exercise, you will create all the transactions for April 8, 2026, and then create a bank deposit and
report.
1. Use this information to create the appropriate transactions:
• Esther Green paid her outstanding invoice with cheque #598.
• Roy Fisher decided to hire Melanie for the custom flower design for $550 and wants to be
invoiced; Melanie reminds you apply the credit.
• Karuna Ramachandran pays both of her outstanding invoices with debit.
• One of the birthday vases Sharon McColl bought in February had a crack, so Melanie wants to
create and apply a credit memo of $25, plus HST, before she pays her invoice. Sharon then pays
the new balance with cash.
Hint: Once you create the credit, it may apply automatically depending on your settings.
• Mary Beth Dunham made a recommendation to a friend of hers to hire Melanie for their
wedding. Melanie tells Mary Beth that if her friend hires her, Melanie will give Mary Beth $75
as a credit on her next invoice for the wedding arrangements. Enter the delayed credit on Mary
Beth’s account for Sharon’s wedding.
2. Melanie will take the cheques from today’s sales and all cash received to the bank and deposit
them. You will need to record a bank deposit for those items and any debit card payments that
were also received up through April 8 (the deposit amount should be $2,570.75). Then, run an
Open Invoices report and an Unbilled Charges report for all dates.
3. Export both reports to Excel and save to your Chapter 04 folder as: CH04 Open Invoices
and CH04 Unbilled Charges 2
Answers
Using QuickBooks Online, you must begin by clicking the " Receive Payments " option. Intuit created and sells the accounting software suite known as QuickBooks.
How can transactions be created in QuickBooks?
The procedures listed below can be used to create transactions on QuickBooks Online based on transactions that have already occurred:
Choose "Receive Payment" by clicking the "+" button in the dashboard's upper right corner.
Choose "Esther Green" as the client, and then enter the sum paid as the invoice's unpaid balance. Choose "Cheque" as the payment option and input the 598-digit check number. Transaction saved.
Choose "Invoice" by clicking on the "+" symbol once again. Choose "Roy Fisher" as the client and type $550 as the balance owed. Choose Melanie's unique floral design service in the products/services area to apply the credit of $25 + GST to the bill. Transaction saved.
Refresh your browser and choose "Receive Payment" from the "+" menu. Choose "Karuna Ramachandran" as the client and input the sum owed for the two unpaid bills. Choose "Debit" as the mode of payment, then save the deal.
Choose "Credit Note" by clicking on the "+" button once again. Choose "Sharon McColl" as the customer, then input a credit amount of $25 + GST. Save the transaction and apply the credit to the birthday vase invoice.
Refresh your browser and choose "Receive Payment" from the "+" menu. When the credit has been applied, choose "Sharon McColl" as the client and input the new balance. Choose "Cash" as the mode of payment, then save the deal.
Click the "+" symbol and choose "Bank Deposit" to make a deposit. Choose the payments made by Karuna Ramachandran, Sharon McColl, and Esther Green as the deposit items, then save the transaction.
Go to the Reports tab on the left-side menu and choose "Profit and Loss" to create a report. Run the report with April 8, 2026 as the date range.
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Wet for the Summer, Inc., manufactures filters for swimming pools. The company is deciding whether to implement a new technology in its pool filters. One year from now the company will know whether the new technology is accepted in the market. If the demand for the new filters is high, the present value of the cash flows in one year will be $14.3 million. Conversely, if the demand is low, the value of the cash flows in one year will be $8 million. The value of the project today under these assumptions is $12.9 million, and the risk-free rate is 6 percent. Suppose that in one year, if the demand for the new technology is low, the company can sell the technology for $9.4 million. What is the value of the option to abandon?
Answers
Answer:
$131,283
Explanation:
Upstate Price = Present Value of Cash Flows if Demand is High / Value of Project = $14.3 million / $12.9 million = 1.10853
Downstate Price = Present Value of Cash Flows if Demand is Low / Value of Project = $8 million / $12.9 million = 0.62016
Now, the computation of Probability of Demand being High
Risk Free Rate = (Probability of Rise) * (U-1) + (1 - Probability of Rise) * (d-1)
0.06 = (Probability of Rise) * (1.10853 - 1) + (1 - Probability of Rise) * (0.62016 - 1)
0.06 = (Probability of Rise) * 0.10853 + (1 - Probability of Rise)*(-0.37984)
0.06 = 0.10853 Probability of Rise + 0.37984 Probability of Rise - 0.37984
0.06 + 0.37984 = 0.10853 Probability of Rise + 0.37984 Probability of Rise
0.43984 = 0.10853 + 0.37984 Probability of Rise
0.43984 = 0.48837 Probability of Rise
Probability of Rise = 0.43984 / 0.48837
Probability of Rise = 0.9006286217417122
Probability of Rise = 0.9006
Probability of Fall = 1 - 0.9006
Probability of Fall = 0.0994
Value of the option to abandon = Probability of Fall * (Selling Price - Cash Flow if Demand is Low)/(1 + Risk Free rate)
Value of the option to abandon = 0.0994 * ($9,400,000-$8,000,000) / (1 + 0.06)
Value of the option to abandon = 0.0994 * $1,400,000/1.06
Value of the option to abandon = $139,160 / 1.06
Value of the option to abandon = $131283.0188679245
Value of the option to abandon = $131,283
in this circular flow example the fed set about the task of cooling a powerful that had become embedded in the economy.
Answers
In this Circular Flow example the Fed set about the task of cooling a powerful inflation that had become embedded in the economy.
Explain the circular flowThe circular flow model shows the flow of money in society. Money is sent back and forth between producers and employees in the form of wages and payments for goods. An economy is essentially an unending circle of money flow. The model is constructed in this manner, but actual cash flows are more intricate. To more accurately represent the complex modern economies, economists have included more variables. These elements make up a country's national income or gross domestic product (GDP). The cyclic flow of income model is another name for the model because of this. The circular flow model illustrates how money circulates in an infinite cycle from producers to households and back again.
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Ms. Tanja Umstead is 46 years old and lives in Richmond, British Columbia. She is in good health
and works in the sales department of a large publicly traded company.
Employment Information
1. Tanja's 2022 salary is $93,500. In addition, she was awarded a year-end bonus of $12,000, all
of which is payable in January 2023.
Answers
Answer: Based on the provided information, here is Tanja Umstead's employment information:
2022 Salary: $93,500
Year-end Bonus (2022): $12,000 (payable in January 2023)
Therefore, Tanja's total income for 2022 would be the sum of her salary and the year-end bonus:
Total Income for 2022 = Salary + Year-end Bonus
= $93,500 + $12,000
= $105,500
It's important to note that the year-end bonus of $12,000 will be paid in January 2023, which means it will be considered as part of her income for the following year (2023) rather than 2022
Explanation:
Stephanie hires Jeff to provide and plant three lemon trees at her house in one week. Jeff agrees in writing to do the job for $400. Jeff never does it. Stephanie hires Elaine to do the exact same job but Elaine charges $1,000 and completes the work. Stephanie sues Jeff in Superior Court. How much compensatory damages will Stephanie be awarded?
Group of answer choices
A) $0
B) $1,000
C) $400
D) $600
Answers
The amount of the compensatory damages that Stephanie be awarded is: D) $600.
Compensatory damagesUsing this formula
Compensatory damages=Amount elaine charges-Amount that Jeff charges
Let plug in the formula
Compensatory damages=$1,000-$400
Compensatory damages=$600
Therefore the correct option is D.
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Kim and Pat underwrite insurance. Each underwrites 50 accounts per month. Each account takes four hours to underwrite. The value of their time is $40 per hour. Monthly costs for each are $1,500 for an office, $2,000 for a receptionist, and $2,400 for a secretary. Calculate the average and incremental cost per case for Kim and Pat.
Answers
It is to be noted that the Average Cost per case for Kim and Pat is $10,950/case. See the explanation below.
How did we arrive at the average cost?Note that we are given the following:
Number of Accounts per month = 50Time taken to underwrite each account = 4 hours/ accountThe value of time per hour = $40/HourMonthly cost of each are:
an office = $1,500Salary for the receptionist = $2,000Salary of a secretary = $2,400The cost taken to underwrite 100 policies is:
100 x 4 x 40 = $16,000
Hence the total cost incurred in underwriting a total of 100 accounts (50 accounts each) is:
= Salary of the Underwriters + Rent + Salary for receptionist + salary for secretary
= 16,000 + 1,500 + 2,000 + 2,400
= $21,900
Hence, the Average Cost for Kim and Pat respectively is:
21,900/2
= $10,950 each for Kim and Pat
The average cost per policy underwritten is:
Total cost /number of policies
= $21,900/100
= $219 Per policy.
What is the incremental Cost?Recall that the average cost per person is $10,950 each for Kim and Pat for 50 policies each.
If the policies of each person is increased by 1, then,
their Total Cost will come to:
Cost Taken to underwrite the policies:
102 x 4 x 40 = $16,320
Hence the total cost incurred in underwriting a total of 100 accounts (50 accounts each) is:
= Salary of the Underwriters + Rent + Salary for receptionist + salary for secretary
= 16,320 + 1,500 + 2,000 + 2,400
= $22,220
Hence the cost per person is:
$11, 110
To get the incremental cost,
= New Cost (with increase in number of jobs done) - old cost
= 11,110 - 10,950
= $160
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What is wrong with this sentence? The report applies to western Europe, where people are interested in these exports.
Answers
The issue with the sentence is that : The sentence is grammatically correct, but it is unclear what "these exports" refer to
What is wrong with this sentence?The sentence is grammatically correct, but it is unclear what "these exports" refer to. To improve clarity, the sentence should be revised to provide more context or specificity about the exports in question.
For example: "The report applies to western Europe, where people are interested in buying cars from Japanese manufacturers."
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The next dividend payment by Savitz, Inc., will be $2.34 per share. The dividends are anticipated to maintain a growth rate of 4.5 percent forever. The stock currently sells for $37 per share. a. What is the dividend yield? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What is the expected capital gains yield? (Enter your answer as a percent rounded to 1 decimal place, e.g., 32.1.)
Answers
Answer:
Dividend yield= 6.37%
Expected capital gains yield= 4.5%
Explanation:
The next dividend payment that will be made by Savitz incorporation is $2.34 per share
The dividends are expected to have a growth rate of 4.5 percent forever
The stock is currently being sold for $37 per share
(A) The dividend yield can be calculated as follows
Dividend yield= Dividend per share/Price per share
= $2.34/$37
= 0.0632×100
= 6.32%
Dividend yield= 6.32%
(B) The expected capital gains yield can be defined as the increase in the price of the stock that is being sold. Since the growth rate of the stock is expected to remain at 4.5% forever then, the expected capital gains yield is 4.5%
Hence the dividend yield is 6.32% and the expected capital gains yield is 4.5%
Paid for wages Rs. 2000 and for commission Rs. 3000. Journal entry for this?
Answers
Answer:
Wages A/c Dr.
To cash A/c
(being wages paid)
Commission A/c Dr
To cash A/c
(being comission paid)