BUSINESS HIGH SCHOOL

United Birdseed is expected to pay the following dividends over the next three years: After year 3, dividends are expected to grow by 5% per year forever. The expected/required return on United Birdseed stock is 10%. What is the stock price?

Answers

Answer 1
Answer:

The question is incomplete. See the complete one below:

Dividends per share at time 1: Div 1       1.00

Dividends per share at time 2: Div 2      1.20

Dividends per share at time 3: Div 3      1.44

Growth Rate after time 3 forever: g 0.05

Discount Rate: r 0.10

Find the price per share of United Bird Seed at time 0

Answer:

Stock price = $24.703

Explanation:

The Dividend Valuation Model is a technique used to value the worth of an asset. According to this model, the value of an asset is the sum of the present values of the  future cash flows would arise from the asset discounted at the required rate of return.

In this question, the cash flows are the dividends as given in the question and the rate of return (discount rate) is 10%

The Present Value of a future cash flow is the amount that needs to be invested today at a particular rate of return to equal the same cash flow in the future. Present value means the value in year 0 or now

The idea is premised on the concept of the time value of money. The idea that $1 today is not the same as $1 tomorow. The $1 of today is worth more than  that of tomorrow; and because of the opportunity to earn interest.

So if an asset (e.g a stock) promises some cash flows in the future, those cash flows need to be brought to their present values and then be added to arrive at the value of the asset

The process of calculating the present value of a future sum is called discounting. So to calculate the stock price in this question, we shall discount the future dividends using the required rate of return and then add them together.

This is done as follows:

PV of Div. in year 1= 1.00/(1.10)= 0.909

PV of Div. year 2= 1.20/(1.10)²= 0.992

PV of Div in year 3= 1.44/(1.10)³=0.082

PV (in year 3) of Div payable in year 4 and beyond = (1.44×1.05)/(0.10-0.05)= 30.24.

PV (in year 0) of Div payable in year 4 and beyond= 30.24/(1.10)³= 22.720

Stock price = Sum of the PV of the future dividends

=0.909+0.992+0.082+22.720= $24.703

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Self-confidence is the most important quality forA. consideration.
B. communication.
C. building new relationships.
D. good listening skills.

Answers

Self-confidence is the most important quality for building new relationships. Option (c) is correct.

You can enjoy independence from self-doubt and self-critical thoughts when you have self-confidence. Feeling less anxious and more fearless. Greater self-assurance increases your willingness to take calculated chances and your capacity to step outside of your comfort zone. being less restricted by social anxiety.

A person uses relationship-building skills, which are a collection of soft skills, to connect with others and create healthy connections. Relationship-building abilities are crucial in the job for getting along with coworkers, contributing to a team, and understanding people.

Therefore, Option (c) is correct.

Learn more about self-confidence, here;

brainly.com/question/30843911

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I would say C.; because you can't be thinking bad stuff about yourself while trying to tell another person your qualities.


Hope this helps :)

Packaging Products, Inc., sends its standard purchase-order form to Quality Box Company to evidence a sale of packaging material. Quality responds with its own standard order form. Additional terms in Quality's form automatically become part of the contract unless:____________ a) Packaging objects to the new terms within a reasonable time. b) Packaging's form expressly required acceptance of its terms c) the additional terms materially alter the original contract d) any of the above.

Answers

Answer:

Option D. Any of the above.

Explanation:

The reason is that the contract is not formed until the both parties don't agree on the terms and conditions of the contract which includes:

  • New terms and conditions because as we know the business environment is consistently changing like inflation changes, etc (Option A).
  • The acceptance is always required for the contract formation (Option B).
  • Additional clauses of the contract are new clauses and acceptance is required for these to form a contract (Option C).

So all of the options can alter the contract existence. So the right answer is option D.

Answer:

Answer is D. Any of the above.

Refer below.

Explanation:

Therefore,

Any of the above.

It includes all three of them,

A.Packaging objects to the new terms within a reasonable time.

B. Packaging's form expressly required acceptance of its terms.

C.the additional terms materially alter the original contract.

State licensing laws generally prescribe two levels of real estate brokerage licensing: the broker license and the salesperson license. Which of the following responsibilities is an individual with a salesperson license permitted to do?A. Own and operate a real estate brokerage businessB. Handle money in trust for clientsC. Negotiate listing contracts or contracts for saleD. Complete legal documents used in sales and leases in their own name.

Answers

Answer: C. Negotiate listing contracts or contracts for sale.

Explanation: Sales person license is a license issued to brokers of sales contracts or deals for real estate business.

Salesperson license will broker contracts or deals on the following areas

Residential Real Estate,

Commercial Real Estates etc. For a person to be qualified to have a salesperson license,he must meet certain requirements which includes passing some examinations as approved by the regulating council.

"[W]ith respect to interstate and overseas air transportation to consider the following as being in accordance with the public convenience and necessity: (1) the maintenance of safety as the highest priority in air commerce; (2) placing maximum reliance on competition in providing air transportation services; (3) the encouragement of air service at major urban areas through secondary or satellite airports; (4) the avoidance of unreasonable industry concentration which would tend to allow one or more air carriers to unreasonably increase prices, reduce services, or exclude competition; and (5) the encouragement of entry into air transportation markets by new air carriers, the encouragement of entry into additional markets by existing air carriers, and the continued strengthening of small air carriers."Public Law 95-504, "Airline Deregulation Act"The LEAST LIKELY result of the passage of the Airline Deregulation Act of 1978 wasA) ticket prices determined by market forces.B)greater competition within the airline industry.C) a decreased average level of safety for passengers.D) the creation of more and smaller airports in the U.S.

Answers

Answer:

C) a decreased average level of safety for passengers.

Explanation:

Traveling by airplane is still by far the most safe way to travel. The chance of being in an airplane accident (not necessarily deadly accident) is 1 in 11 million, while the chance of being in a car accident is 1 in 5,000. Flying on airplanes is not only safe, but it is becoming safer.  

How do your finance choices impact the economy? Trace the impact of your financial decision.

Answers

everyone has a place in the econonmy,upperclass,lowerclass and middle class. if the upperclass were too high our country would likely turn back to the hiarchy system

Explain the following statement: Although the balance sheet can be thought of as a snapshot of a firm’s financial position at a point in time, the income statement reports on operations over a period of time.

Answers

Answer:

The balance sheet shows the financial position on a specific date. It provides a snapshot of the asset, liabilities and equity position of the company.

whereas in case of income statement it shows the revenues and expenditure incurred during a period of time.

Explanation:
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