subject
Business, 06.09.2019 18:30 smithnakayla19

You’ve recently learned that the company where you work is being sold for $425,000. the company’s income statement indicates current profits of $14,000, which have yet to be paid out as dividends. assuming the company will remain a "going concern" indefinitely and that the interest rate will remain constant at 8 percent, at what constant rate does the owner believe that profits will grow?

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 05:10
The total value of your portfolio is $10,000: $3,000 of it is invested in stock a and the remainder invested in stock b. stock a has a beta of 0.8; stock b has a beta of 1.2. the risk premium on the market portfolio is 8%; the risk-free rate is 2%. additional information on stocks a and b is provided below. return in each state state probability of state stock a stock b excellent 15% 15% 5% normal 50% 9% 7% poor 35% -15% 10% what are each stock’s expected return and the standard deviation? what are the expected return and the standard deviation of your portfolio? what is the beta of your portfolio? using capm, what is the expected return on the portfolio? given your answer above, would you buy, sell, or hold the portfolio?
Answers: 1
question
Business, 22.06.2019 18:10
Why would an investor invest in your stocks
Answers: 1
question
Business, 22.06.2019 20:40
Robert owns a life insurance policy that he purchased when he first graduated college. it has a $100,000 death benefit and robert pays premiums for it every month out of his checking account. the insurance robert has is most likely da. permanent life insurance o b. term life insurance o c. group life insurance o d. individual life insurance
Answers: 1
question
Business, 23.06.2019 00:00
How did the change in textile production affect employment in spinning and weaving for adults and children?
Answers: 1
You know the right answer?
You’ve recently learned that the company where you work is being sold for $425,000. the company’s in...
Questions
question
Biology, 10.08.2021 14:30
question
Computers and Technology, 10.08.2021 14:30
question
Chemistry, 10.08.2021 14:30
Questions on the website: 13722363