Computech Corporation is expanding rapidly and currently needs to retain all of its earnings; hence, it does not pay dividends. However, investors expect Computech to begin paying dividends, beginning with a dividend of $0.75 coming 3 years from today. The dividend should grow rapidly - at a rate of 49% per year - during Years 4 and 5, but after Year 5, growth should be a constant 10% per year. If the required return on Computech is 18%, what is the value of the stock today? Do not round intermediate calculations. Round your answer to the nearest cent.

Answers

Answer 1

If the required return on Computech is 18% the value of the stock in today's calculation is $11.77

What is the growth rate of a stock?

This is the percentage change of the stock based on the annualized growth rate over a period of time.

D3 = $0.75

D4 = 0.75 x 1.49 = $1.1175

D5 = 1.1175 x 1.49 = $1.665075

D6 = $1.665075 x 1.10 = $1.8315825

At a growth rate of 10 percent

[tex]\frac{D6}{R-G}[/tex]

1.8315825/0.18-0.10

= $[tex]\frac{0.75}{1.18^3} +\frac{1.1175}{1.18^4} +\frac{1.665075}{1.18^5} +\frac{22.89478125}{1.18^5} \\[/tex]

= 0.456473 + 0.576394 + 0.7278196 + 10.0075198

= $11.77

The value of this stock today is  $11.77

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Related Questions

Which of the following examples demonstrate qualifications that are most helpful for Science and Math careers? Check all that apply.

1.Rick is good at creating technical drawings.
2.Jeanine knows a lot about the construction of buildings.
3.Carmelo has strong research skills for gathering information.
4.Daphne is curious about how a disease can be treated and prevented.
5.Sondra has an advanced knowledge of math and physics.
6.Beau is persuasive at convincing people to buy products.

Answers

Answer:

Number 2

Explanation:

To qualify for construction and building you have to be able to know how to do math the apply what you are making to science.

Answer:

C D E

Explanation:

thats right

What is semiannually?

Answers

Answer:

occurring twice a year; half yearly

Explanation:

ok so basically

semi: partly

annually: yearly

essentially, semiannually means it only happens part of the year.

I feel like I just went in circles, but I'm not sure how else to explain it! let me know if you need another explanation

Is the time interval or frequency of an event occurring every six months twice a year or semi annually

Based on what you see in the employee complaint log, what type of culture has HydroHealth been exhibiting? Servant? Equity? Clan? Market? List of complaints - Sales: Female employee was told by male supervisor that she should to get ahead in sales. - Operations: Male employee was berated by his female supervisor in front of other employees and called and a because he misfiled some customer records. - Accounting: Male employee was told by two other male employees that HydroHealth will not be ahead of the competition for much longer with "" like him around. -Sales: Male employee was told be female supervisor to when he complained about her tone with him. - IT: Female employee was told by female supervisor to get on a competitor so it can be leaked to the market. - Legal: Female employee was told be male employee that during a work trip. - Accounting: Male employee was told be female supervisor that he needs to if he is going to be part of an industry leading company.

Answers

Based on the record of employee complaints, it is correct to say that the HydroHealth company is exhibiting the market culture.

What is market culture?

It corresponds to an organizational culture based on competitiveness in the internal and external environment, that is, competitiveness is also encouraged among employees, being a more aggressive model of culture.

Therefore, the market culture can generate some disadvantages, such as increased employee turnover and task overload, increasing conflicts and negatively impacting the perception of work.

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• What are the most valuable resources within a team?

Answers

Answer:

Intelligence and will-power.

Explanation:

Most might say that leadership and bravery. Although, if you bring a group of people who are intelligent in the business and are ready to dedicate themselves, you can get a lot done, and maybe even have a successful business within a few months/weeks.

This might sound a little weird, but money is also a very needed characteristic within a team. If you are making something big, and you believe in it, you need money for assistance with assets and other things.

I'm sorry if I misunderstood the question, that's my fault. I just found this question very interesting and I think it would've been nice to answer.

Firm A is a profit-maximizing firm with a monopoly in the production of Good X. The firm sells its good for $10 each. We can conclude that Firm A is producing a level of output at which:

Answers

If the Firm A is having a monopoly in the production of X we can assume that the Firm A is producing at a level of output which is marginal cost equals marginal revenue.

What is a monopoly?

This is a situation that exists in a market where there is a single producer or seller of a product. The monopolist has no competitors.

Due to this he enjoys unfair advantages and can set the price in the market to any level that he wants.

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What is true about people who have
credit cards?
A. They are extremely wealthy.
B. They are extremely poor.
C. They have a limit on the dollar amount they can
charge.
D. They do not have a limit on the dollar amount they
can charge.

Answers

C I think don’t listen to me cause I don’t know it that much but I’m pretty sure it’s c

what are the business environmental analysis.?​

Answers

Answer:

An environmental analysis is a strategic analysis tool to identify all of the external and internal factors that can affect a company's performance. The purpose is to assess the level of risk various environmental factors pose as well as the business opportunities they present.

The chart shows a combined supply and demand schedule. A 3-column table has 5 rows. The first column is labeled Price per Pair of Running Shoes with entries 45 dollars, 75 dollars, 100 dollars, 125 dollars, and 150 dollars. The second column is labeled Quantity Demanded with entries 100, 80, 60, 40, 20. The third column is labeled Quantity Supplied with entries 40, 50, 60, 70, 80. According to this table, what will happen when the price of a pair of shoes rises from $100 to $125? The cost to make a pair of shoes will rise. A scarcity of shoes will result. Profits from selling shoes will increase. Consumers will want to buy fewer pairs of shoes.

Answers

Profits from selling shoes will increase if the price of a pair of shoes climbs from $100 to $125. As a result, option (c) is the correct answer.

What is the shift in shoe price denote?

When the price is $100, the quantity demanded equals the quantity given, which equals 60.

When the price is $125, the number required is 40 and the number given is 70.

Earnings if sold for $100 and earnings based on a $125 sale.

[tex]100 \text{ x } 60 = 6,000\\125 \text{ x } 70 = 8,750[/tex]

Profit will now rise in lockstep with earnings per pair of shoes.

Therefore, the answer is, that profits from selling shoes will increase, out of the possibilities given.

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Provide an explanation of how his/her life will change economically, socially, and politically in a centrally planned economy.

Answers

Answer:spazz

Explanation:

spazz

Why is there is a difference between the roles of a manager, a monitor and an entrepreneur? Support your answer with an example.

1.2 Explain in your own words the following two factors that managers should consider when using teamwork competency in the workplace:

1.2.1 Creating a supportive environment

1.2.2 Managing team dynamics​

Answers

An entrepreneur is the owner of the company while the monitor and manager are employees.

Who is an Entrepreneur?

This is the individual which owns the company and bears the risk and enjoys most of the reward derived from it.

The entrepreneur serves as an innovator, the manager helps to control the affairs of the company while the monitor oversees compliance.

Creating a supportive environment will there is an inclusive environment which will boost productivity.

Managing team dynamics​ involves understanding the roles and behavior of team members which ensures they are suited to the rule for increased productivity and less errors.

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1. Explain the difference between a want and a need.

Answers

WANT :-

To wish for or desire

example :- What do you want to eat?

____________________

NEED :-

To want strongly; to feel that one must have something.

example:- There's no need to speculate; we can easily find out for sure.

____________________

A firm in a competitive market receives $1,160 in total revenue and has marginal revenue of $20.
The firm's average revenue is
$
, and
units were sold.

Answers

Assuming the total revenue and has marginal revenue of $20. The firm's average revenue is $20 and units sold is 58 .

Average revenue and units sold

Average revenue = Marginal revenue

Hence ,Average revenue is the marginal revenue amount of $20.

Units sold:

Units sold=Total revenue/Average revenue

Units sold=$1,160/$20

Units sold=58 units

Therefore the firm's average revenue is $20 and units sold is 58 .

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The budgeted selling price per unit is $60. Budgeted unit sales for June, July, August, and September are 8,000, 11,000, 13,000, and 14,000 units, respectively. All sales are on credit. Thirty percent of credit sales are collected in the month of the sale and 70% in the following month. The ending finished goods inventory equals 25% of the following month’s unit sales. The ending raw materials inventory equals 10% of the following month’s raw materials production needs. Each unit of finished goods requires 5 pounds of raw materials. The raw materials cost $2.20 per pound. Twenty percent of raw materials purchases are paid for in the month of purchase and 80% in the following month. The direct labor wage rate is $12 per hour. Each unit of finished goods requires two direct labor-hours. The variable selling and administrative expense per unit sold is $1.20. The fixed selling and administrative expense per month is $61,000.

5. If 66,250 pounds of raw materials are needed to meet production in August, how many pounds of raw materials should be purchased in July?
6. If 66,250 pounds of raw materials are needed to meet production in August, what is the estimated cost of raw materials purchases for July?
7. In July what are the total estimated cash disbursements for raw materials purchases? Assume the cost of raw material purchases in June is $99,275; and 66,250 pounds of raw materials are needed to meet production in August.
8. If 66,250 pounds of raw materials are needed to meet production in August, what is the estimated accounts payable balance at the end of July?
9. If 66,250 pounds of raw materials are needed to meet production in August, what is the estimated raw materials inventory balance at the end of July?
10. What is the total estimated direct labor cost for July?
11. If we assume that there is no fixed manufacturing overhead and the variable manufacturing overhead is $7 per direct labor-hour, what is the estimated unit product cost? (Round your answer to 2 decimal places.)
12. If we assume that there is no fixed manufacturing overhead and the variable manufacturing overhead is $7 per direct labor-hour, what is the estimated finished goods inventory balance at the end of July?
13. If we assume that there is no fixed manufacturing overhead and the variable manufacturing overhead is $7 per direct labor-hour, what is the estimated cost of goods sold and gross margin for July?
14.What is the estimated total selling and administrative expense for July?
15. If we assume that there is no fixed manufacturing overhead and the variable manufacturing overhead is $7 per direct labor-hour, what is the estimated net operating income for July?

Answers

5. If 66,250 pounds of raw materials are needed to meet production in August, the pounds of raw materials purchased in July is 58,375 pounds.

6. If 66,250 pounds of raw materials are needed to meet production in August, the estimated cost of raw materials purchases for July is $128,425.

7. In July, the total estimated cash disbursements for raw materials purchases is $105,105.

8. If 66,250 pounds of raw materials are needed to meet production in August, the estimated accounts payable balance at the end of July is $102,740 ($128,425 x 80%).

9. If 66,250 pounds of raw materials are needed to meet production in August, the estimated raw materials inventory balance at the end of July is 6,625 pounds.

10. The total estimated direct labor cost for July is $276,000.

11. If we assume that there is no fixed manufacturing overhead and the variable manufacturing overhead is $7 per direct labor hour, the estimated unit product cost? (Round your answer to 2 decimal places.)

Cost of raw materials per unit = $11 (5 x $2.20)

The estimated unit product cost under the above scenario is $18 ($11 +$7).

12. If we assume that there is no fixed manufacturing overhead and the variable manufacturing overhead is $7 per direct labor hour, the estimated finished goods inventory balance at the end of July is $58,500 (3,250 x $18).

13. If we assume that there is no fixed manufacturing overhead and the variable manufacturing overhead is $7 per direct labor hour, the estimated cost of goods sold and gross margin for July are as follows:

Estimated cost of goods sold = $198,000 (11,000 x $18)

Gross margin = $462,000 ($660,000 - $198,000)

14. The estimated total selling and administrative expense for July is $74,200 ($13,200 + $61,000).

15. If we assume that there is no fixed manufacturing overhead and the variable manufacturing overhead is $7 per direct labor hour, the estimated net operating income for July is $387,800 ($462,000 - $74,200).

Data and Calculations:

Budgeted selling price per unit = $60

Sales Revenue Budget:

                                                    June          July           August   September

Budgeted unit sales                 8,000          11,000          13,000         14,000

Budgeted sales revenue  $480,000    $660,000    $780,000    $840,000

Cash Collections:

30% month of sale            $144,000   $198,000       $234,000   $252,000

70% following month                             336,000        462,000      546,000

Production Budget:

                                                    June          July           August   September

Budgeted unit sales                 8,000          11,000          13,000         14,000

Ending inventory (25%)            2,750          3,250            3,500

Units available for sale           10,750         14,250          16,500

Beginning inventory                2,000          2,750            3,250          3,500

Production units                      8,750          11,500           13,250

Materials Purchase Budget:

                                                       June            July           August  

Production units                            8,750         11,500         13,250

Materials requirements              43,750        57,500       66,250 (13,250x5)

Ending inventory                          5,750          6,625

Production materials available 49,500         64,125

Beginning inventory                    4,375           5,750         6,625

Purchase of materials               45,125         58,375

Purchase costs                      $99,275     $128,425

Payment for Purchase of Materials:

20%, month of purchase     $19,855        $25,685

80% following month                                $79,420

Cash disbursements                              $105,105

Direct Labor Budget:

                                                       June            July           August  

Production units                            8,750          11,500          13,250

Direct labor-hours required        17,500        23,000         26,500

Direct labor costs ($12/hr.)     $210,000   $276,000     $318,000

Budgeted unit sales                     8,000          11,000         13,000

Overhead Budget:

Variable selling and

 administrative expense          $9,600       $13,200       $15,600

Fixed selling and admin. exp.   61,000         61,000         61,000

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Please answer quickly

Answers

it c because your teacher is going to give then their phone so is positive

Customer: "Will you delve into this problem?"
Yes, I will respond to this problem.
Yes, I will escalate this problem.
Yes, I will understand this problem.
Yes, I will research this problem.
Yes, I will ignore this problem.

Answers

Answer:

the cancer is the fourth responce

The correct option is D). Yes, I will research this problem.

What are the different ways in responding to customer complaints?

A customer is an individual who buys products or services from a store, restaurant or other retail seller. As per business definition, customer is the king of the market. Customer is the most important part of your business because without the customer, there would be no sales.

It is really important to respond to the customer's complaints and concern by providing them best and appropriate customer services. Listen to their problems very carefully and always treat all complaints positively and seriously.

Empathy and sympathy are two important terms that need to be consider appropriately while handling customer's complaints.

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Were you able to retrieve the data ______ the hard drive of the damaged computer? Group of answer choices. from. from off of. off of. off

Answers

Answer:

Of

Explanation:

Since there is a data form the hard drive

Were you able to retrieve the data off the hard drive of the damaged computer? Thus, option D is correct.

What is a computer?

A computer can be defined as the electronic device which processes various things. In this a binary system is being used which has only two variables zero and one.

All the coding and decoding is done on the basis of these two binary numbers. One can use various algorithm on a computer. If there is a hard drive that is being processed then the material or the information can be easily retrieved from the same.

A professional backup and recovery service might retrieve documents from a failing hard drive. Restoration software cannot recover data from malfunctioning hard drives because it needs permission to the hard disk from the operating system in order to do so.

Therefore, option D is the correct option.

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Assume the following information: April 1 Inventory 3 units at cost of $20 April 10 purchase 5 units at cost of $20 April 12 sale 6 units Using the perpetual inventory system, what is the amount of cost of goods sold

Answers

The amount of the cost of goods sold, using the perpetual inventory system, is $120.

What is the perpetual inventory system?

The perpetual inventory system is an inventory management system that records all inventory transactions as they occur and not at the end of the accounting period when inventory counts are carried out.

It is the opposite of the periodic inventory system.  Using the perpetual inventory system, entries are made directly to the inventory account and the cost of goods sold with each inventory transaction.

Data and Calculations:

Beginning inventory 3 units at $20 = $60

April 10  Purchase 5 units at $20 =   $100

Total cost of goods available for sale = $160

April 12 Sales 6 units

Ending inventory = 2 (8 - 6) = $40

Cost of goods sold = $120 ($20 x 6) or ($160 - $40)

Thus, the amount of the cost of goods sold, using the perpetual inventory system, is $120.

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The consumer surplus will _____ by _____ when the United States engages in international trade and the international price for MP3 players settles at $50.

Answers

Answer:

tnetn

Explanation:eturyumryu

Here are the project risk management processes:
1. Identify risks
2. Control risks
3. Perform quantitative risk analysis
4. Plan risk responses
5. Plan risk management
6. Perform qualitative risk analysis

Which of the following is the correct sequence for the project risk management process?

Answers

The correct sequence for the project risk management process according to the PMBOK is:

Plan risk managementPerform qualitative risk analysisIdentify risksPerform quantitative risk analysisPlan risk responsesControl risksWhat is the project risk management process?

It corresponds to methods and techniques of analysis and management of risks inherent to a project. The objective is to identify negative situations to a project based on the financial, chronological and technological forecast in advance.

Therefore, with project risk management, it is possible to adopt working methods, reducing uncertainties and optimizing the use of available capital.

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A potential legal claim which is probable and the amount can be reasonably estimated should be: multiple choice recorded in the financial statements as a contingent liability. disclosed in the notes while the lawsuit is outstanding. disclosed in the notes when the lawsuit is settled. is a potential liability that has arisen because of a past event or transaction.

Answers

A potential legal claim which is probable and the amount can be reasonably estimated should recorded in the financial statements as a contingent liability.

What is Legal claim?

A legal claim are evidence or prove which someone says.

They are legal claims over an individual and the amount estimated will be paid.

Therefore, A potential legal claim which is probable and the amount can be reasonably estimated should recorded in the financial statements as a contingent liability.

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A manager is trying to determine if an employee can be trusted to work independently and if the employee will show up for scheduled shifts on a regular basis. Which trait from the Big Five Personality Dimensions is the manager examining

Answers

The trait from the Big Five Personality Dimensions where the manager is examining if an employee can be trusted to work independently is Conscientious.

What are Conscientious people?

Conscientious people are people that others rely on. They have to be able to handle what is put on their plate, and they have to be trustworthy. Conscientiousness is an essential trait for any managerial position.

Characteristics of conscientious traits are :

Dependable,OrganizedReliableAmbitious,HardworkingPersevering

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Robert receives a salary of $60,000 per year, or $2,500 semi-monthly. How
much does Robert pay in unemployment taxes for the entire year?
A. $840
B. $0
C. $420
D. $210

Answers

The amount that Robert will pay in unemployment taxes for the entire year will be B. $0.

Determination of Unemployment Taxes Payable

Employers are subject to an unemployment tax which is known as Federal Unemployment Tax Act (FUTA) depending on the wages and salaries they pay their workers.

Employers must pay FUTA if their employees earn $1500 or more per calendar quarter.

Employers are not obligated to withhold FUTA from employees if we compare it to other payroll-based taxes.

As a result, no unemployment taxes should be deducted from Robert's pay.

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Smita paid $100 for textbooks at the college bookstore by check. She incorrectly wrote the number $1,000.00 on the check rather than $100.00. She correctly wrote the words “one hundred and no cents.” When Smita received her bank statement, she saw the check had been cashed for $1,000 and not for $100. She notified the bookstore of the error, but the bookstore refused to refund the $900 over-payment. Can Smita require the bank to credit her account for $900? Explain.

Answers

Smita may require the bank to recover the overpayment through the bookstore's bank but cannot require the bank to credit her account for $900.

How to handle check disputes?

Handling check disputes requires professionalism.  Proper channels and procedures must be followed.

In this case, both Smita and the bank were at fault for not noticing the difference in amount and figure.

Ordinarily, the bookstore should not refuse to refund the $900 over-payment because it is aware of the amount of its invoice.

However, when Smita meets with a refusal from the bookstore, she should confront the bank squarely to follow official procedures.

Thus, Smita may require the bank to recover the overpayment from the bookstore through the bookstore's bank but cannot require the bank to credit her account for $900 because the fault lies on both and the law does not permit the bookstore to keep the overpayment.

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Which business function consists of the given aspects?

Answers

Answer:

d

Explanation:

Becuuse when you read the qustion you see that it all led up to d

NEED HELP ASAP PLEASEEE!

1 Question Attached

Answers

Answer:

$2,250

Explanation:

If you owned 3,000 shares and they had an annual dividend of $0.75 per share, you would have received $2,250 because 3,000*.75=2,250.

State five Features of advertisement​

Answers

Answer:

Inform and persuade

Identified sponsor

Sell or promote ideas, goods and services

paid form

non-personal presentation

inform & persuade

identified & sponsor

varied objective s

use of Media

Suppose that Fritz Kron was worried about organizational silence. He is concerned that senior executives aren’t hearing about workplace issues because people believe that others are already working on fixing the problem, or because people are afraid of giving managers information they don’t want to hear. Which of the following tools could Fritz use to help overcome organizational silence? Check all that apply.

Answers

For Fritz to overcome organizational silence, He must set up a proper communication channel.

What are workplace issues?

Workplace issues are incidents that are deemed or considered wrong by the individual who is experiencing them observing the problem.

Generally, Collecting information creates a never-ending interpretation problem. collecting the same information through multiple channels may alter its interpretation by changing its meaning.

In conclusion, The medium through which a message is transmitted to another person is referred to as a communication channel.

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When there is no formal, written partnership agreement, and agreement to form a partnership is enforceable. True False

Answers

When there is no formal, written partnership agreement agreement to form a partnership is not enforceable. i.e False.

What is partnership?

Partnership involves two or more people coming to terms over a business idea or strategy.

This partners have a mutual agreement to pull their resources together for profit.

Therefore, When there is no formal, written partnership agreement to form a partnership is not enforceable. i.e False.

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What would be the price of a perpetuity bond that has a $100 interest payment and a 4% yield?

Answers

Answer:

$2,500.

Explanation:

what is the definition of REO

Answers

Answer:

Real estate owned

Explanation:

It is property owned by a lender, such as a bank, that has not been successfully sold at a foreclosure auction.

Answer:

REO stands for real estate owned

Explanation:

Real estate owned, a property owned by a lender because it failed to sell in a foreclosure auction after the borrower defaulted on their mortgage.

Other Questions
1000 to the fourth power(? What are the two basic dimensions of the emotional circumplex model? What did the Pacific Railroad Act of 1862 accomplish?It created railway lines that connected the North to the South.It stimulated the building of a transcontinental railroad.It helped develop the West by providing land grants to settle there.It made the transport of goods possible during the Civil War. PLEASE HELP ASAPWhat does it mean that the collisions between gas particles are elastic? I need help solving this. Between 1988 and 2019, the pH of the ocean hasQuestion 2 options:decreased by 0.5 pH units.decreased by 20 pH units.increased by 0.25 pH units.decreased by 0.05 pH units. What qualities contrast the American "Civil Defense" program from those of the Soviet Union or European allies? What is required in addition to oxygen to create a hightemperature flame? At how many hours will blake earn the same amount in both jobs? [tex]-35x^{6}=(-5x^2)(B)[/tex]Find the missing factor of B that makes this equation true Please help me with these to Spanish questions! I would really appreciate the help!your little brother or sister. (Pretend you have one,Its time to get ready for bed. You will provide three affirmative t commands to tell your younger sibling what to do. One of the commands will be an irregular command.Command 1:Command 2:Command 3:Prompt 2. You are on vacation with your family and have been in the car for a while. Pretend that you have a younger sibling who is annoying you in the car. Usingdifferent verbs not used in commands 1 or 2, provide three negative informal commands to tell your younger sibling what not to do.Command 4:Command 5:Command 6: Complete the sentences with the correct term.Costpush inflation occurs when ____(short-run aggregate supply / aggregate demand)____ decreases until equilibrium output falls below the full employment level.As a result, the ____(equilibrium output level / price level)_____ increases.One possible cause of costpush inflation is an increase in ____(technology / the costs of inputs)_____.To combat falling aggregate output, the government may introduce policies to increase ____(aggregate demand / long-run aggregate supply)_____ to the point where it and shortrun aggregate supply intersect ____(aggregate demand / long-run aggregate supply)_____ at the same point.These policies cause ____(the price level / equilibrium output)____ to return to its full employment level, and the ____(level of output / price level)_____ increases even further. was south africa colonization positive or negative? 3 reasons why. Own words Transform the table below given that g(x) = 2 f(6x).+ 8. Enter your answers as reduced fractions if necessary. Make sure your answers line up vertically with the corresponding x and f(x) values. As a hint, you can consider y f(x) to be the base graph of g(x). Im begging somebody to arrange this poem and add more details to make it make sense this is due tomorrow The man walked across the ground waiting for the very found sound he waits and triumphs when its done for he had taken a flower gun the flower screams in pain and and fall petals revolving in metal bars 12. An empty avocado crate weighs 4.2 kg. How many avocados weighing 0.3 kg each can be added before the total weight of the crate reaches 15.0 kg? The project is going well. There is a scope change, and, as a result, a new team is brought in to assist the existing team in the new scope of the project. Upon arriving, the team asks to see where the the project currently stands. What do you show them help please and ty lol A _____ is a collection of (potentially) thousands of computers that can respond to requests over a network Click on the boxes to choose the meter and line length of the following line.Spin him round and send him flying______ ______ -meter.