What is the present value of this security

Assignment Help Managerial Accounting
Reference no: EM132971491

Question - A security pays an annual dividend of $1.1 forever. The appropriate discount rate is 9% per year. What is the present value of this security if the first payment is made one year from now?

Reference no: EM132971491

Questions Cloud

What is the Profit factor for Jack Daniels : Moonlight Bar sold 240 Jack Daniels (JD) whisky last month and generated sales of $1,000. What is the Profit factor for Jack Daniels
How much is to be paid : A company received an invoice for $3066.62 dated May 8 with terms 5/10, 1/30, n/60. If the invoice is paid on May 13, how much is to be paid
Promote best practice and demonstrate your understanding : Promote best practice and demonstrate your understanding of the palliative care approach to nursing, students will create a professional development resource
What would be the net benefit to the business : An overseas business has recently offered to buy 4,900 units of the product. What would be the net benefit (or loss) to the business if the order is accepted?
What is the present value of this security : A security pays an annual dividend of $1.1 forever. The appropriate discount rate is 9% per year. What is the present value of this security
How do calculate the earnings per share : Calculate the earnings per share. Cost of goods sold 160,000. Operating expenses 65,000. Interest expense 15,000. 10,000 shares of stock are outstanding
Determine non-controlling interests in the net income : PUREHATCH COMPANY reported net income of P 528,000. Determine non-controlling interests in the net income of the subsidiary for 2020
How do calculate operating income : Calculate operating income. Cost of goods sold 160,000. Interest expense 15,000. 10,000 shares of stock are outstanding. Sales $280,000
How much salary expense is incurred by the company : A company president works the last week in December 2019, How much salary expense is incurred (recorded) by the company in 2020?

Reviews

Write a Review

Managerial Accounting Questions & Answers

  How is the cost of capital a factor in the decision- making

How does the amount of funds available affect choices on capital investment decisions - how is the cost of capital a factor in the decision- making process?

  Discuss how product costing is used for a cabinet division

Mr. Smith of Wilson-West, Which costing method will you use for the cabinet division: Activity-based costing(ABC), job order costing or process costing?

  Compute the change in cash that occurred

Prepare separate schedules showing (1) cash paid for interest and for income taxes and (2) noncash investing and financing transactions.

  Compute and list five actions that south hampton might take

Compute and List five actions that South Hampton might take to accommodate the growing student numbers. Assume is a shortage of full-time academic staff.

  Discuss the operational and financial data

Discuss the operational and financial data, factors, and details will you need to gather, review and address before you bring your recommendation to the CFO

  The journal entry to record the requisition would

he indirect materials totaled $7,000. The journal entry to record this requisition would include a debit to Manufacturing Overhead of

  How many pounds of material were used in the current

The actual price per pound of material is $78; the standard price is $77.50 per pound. How many pounds of material were used in the current period?

  What are reasons for keeping a good financial records system

What are some reasons a company needs to cut costs? What are the reasons for keeping a good financial records system? Monitoring of the budget is achieved?

  What are advantages and disadvantages of decentralization

What are the advantages and disadvantages of decentralization? Would you prefer to work in a centralized or decentralized organization and why?

  Assuming that firm asset beta

ABC Inc is a pure equity firm. Firm decides to recapitalize to take advantage of tax shield.

  How do create a cash budget for the month of november

How do Make a cash budget for the month of November, supported by schedules of cash collections on accounts receivable and cash payments for purchases

  Determine the cost of the following job

Determine the cost of the following job (number 253) using each of the four overhead allocation rates.Job 253

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