The following information pertains to JAE Corp. at January 1, 2018:
Common stock, $11 par, 12,000 shares authorized, 2,400 shares issued and outstanding: $26,400
Paid-in capital in excess of par, common stock 16,700
Retained earnings 74,600
JAE Corp. completed the following transactions during 2018:
Issued 1,200 shares of $11 par common stock for $29 per share.
Repurchased 230 shares of its own common stock for $26 per share.
Resold 50 shares of treasury stock for $27 per share.
Required:
a. How many shares of common stock were outstanding at the end of the period?
b. How many shares of common stock had been issued at the end of the period?
c. Organize the transactions data in accounts under the accounting equation.
d. Prepare the stockholders' equity section Of the balance sheet reflecting these transactions. Include the number Of shares authorized, issued, and outstanding in the description of the common stock.
Answers
Answer and Explanation:
According to the scenario, computation of the given data are as follow:-
a. At The End of Period Outstanding Shares = Issue Share + Beginning Shares + Resold Share - Repurchase Share
= 1,200 + 2,400 + 50 - 230
= 3,420 Shares
B) Issued Shares = Issued Shares + Beginning Shares
= 1,200 + 2,400
= 3,600 Shares
c. The c part is shown in the excel spreadsheet kindly find it below.
d). Balance Sheet
Particular Amount ($)
Common stock $25,200
PIC in excess of treasury stock $50
PIC in excess of common stock $38,300
Retained earnings $74,600
Less-treasury stock -$4,680
Total equity of stockholder $133,470
Related Questions
5.Which of the following is a valid Excel formula?
a) =C4*D4
b) B4*D4
c) Both =C4* and B4*D4
d) Neither =C4* nor B4*D4
Answers
4) (Economies of Scale) Suppose a firm has chosen its quantity so that its marginal cost is equal to the market price, and is making positive profits because its revenues exceed its costs. Is this firm operating in a range where it production exhibits economies of scale or diseconomies of scale
Answers
Answer:
The firm is operating in a product range that exhibits diseconomies of scale. A further explanation is given below.
Explanation:
The company operates within a target area where there have been efficiency gains throughout production. Since the company makes benefits and opportunities, which means that the profitability outweighs the amount, the price could perhaps outweigh the estimated price at either the amount of development. As well as the valuation is equivalent to the cost, and marginal cost should therefore significantly increase the overall value.Researchers understand exactly this because when market forces are already in place, marginal cost is already below the estimated price, such that, marginal cost would be below the estimated price. After all, once government subsidies have been in place because when efficiency gains are in place, marginal cost should be above total value, which indicates that sometimes marginal cost exceeds average cost whenever economies of level have been in place.The initial cash outlay of a project is X is Rs 100,000 and it can generate cash inflow of Rs 40,000, Rs 30,000, Rs 50,000 and Rs 20,000 in year 1 through 4. Assume a 10 per cent rate of discount. Assume that a project Y requires an outlay of Rs 50,000 and yields annual cash inflow of Rs 12,500 for 7 years at the rate of 12%.
Answers
On the net present value analysis, project Y is expected to generate a higher return on investment compared to project X.
To evaluate the two projects, X and Y, we will calculate their net present value (NPV) using the given cash inflows, discount rate, and initial cash outlay.
For project X:
The cash inflows for each year are Rs 40,000, Rs 30,000, Rs 50,000, and Rs 20,000 for years 1 through 4, respectively.
The initial cash outlay is Rs 100,000.
The discount rate is 10%.
To calculate the NPV, we discount each cash inflow to its present value using the discount rate and subtract the initial cash outlay:
NPV(X) = (40,000 / (1 + 0.10)^1) + (30,000 / (1 + 0.10)^2) + (50,000 / (1 + 0.10)^3) + (20,000 / (1 + 0.10)^4) - 100,000
Simplifying the calculations:
NPV(X) = 36,363 + 24,793 + 34,979 + 13,167 - 100,000
= 9,302
The net present value (NPV) for project X is Rs 9,302.
For project Y:
The cash inflow for each year is Rs 12,500 for 7 years.
The initial cash outlay is Rs 50,000.
The discount rate is 12%.
Using the same formula as above, we calculate the NPV for project Y:
NPV(Y) = (12,500 / (1 + 0.12)^1) + (12,500 / (1 + 0.12)^2) + ... + (12,500 / (1 + 0.12)^7) - 50,000
Simplifying the calculations:
NPV(Y) = 11,161 + 9,960 + 8,888 + ... + 3,637 - 50,000
= 11,042
The net present value (NPV) for project Y is Rs 11,042.
For more such question on investment. visit :
https://brainly.com/question/29547577
#SPJ8
Auditors who are searching for evidence that assets, liabilities, and equity items have been recorded at appropriate amounts and allocated to the correct general ledger accounts consider ________. a. valuation and allocation b. rights and obligations c. existence d. classification
Answers
Answer:
a. valuation and allocation.
Explanation:
Financial accounting is an accounting technique used for analyzing, summarizing and reporting of financial transactions like sales costs, purchase costs, payables and receivables of an organization using standard financial guidelines such as Generally Accepted Accounting Principles (GAAP) and financial accounting standards board (FASB).
Internal controls can be defined as the policies, set of rules, and procedures implemented or put in place by an organization to protect its assets, boost efficiency, enhance financial accountability, enforce adherence to company policies and prevent fraudulent behaviors among the employees.
The main purpose of internal controls is to guarantee that loss is eliminated by ensuring that there is an accurate and reliable accounting system.
An internal control involves the timely use of both internal and external sources of auditing or financial reporting and as such enhance the maintenance of accurate and proper financial records which would also improve their operational efficiency.
An auditor refers to an authorized individual who review, examine and verify the authenticity and accuracy of business financial records or transactions.
Auditors make use of accuracy, valuation and allocation to search for evidence that assets, liabilities, and equity items have all been recorded at appropriate amounts and allocated to the correct general ledger accounts of a business firm.
The main purpose of a general ledger is to list all accounts used in recording an organization's transactions and as such it contains a list of transactions affecting each account and the account's balance. Also, the page number of the account debited or credited in the journal is written in a posting reference of a ledger and it usually serves as a link to cross-reference or juxtapose the transaction from one record to another in a business firm.
What are causes and effects of increasing marginal returns?
Answers
Answer:
the extra output or change in total product caused by adding one more unit of variable input. Increasing marginal returns: as long as each new worker contributes more to total output than the worker before, total output rises at an increasing rate.
Explanation:
which is one of the greatest risks of being entrepreneur
Answers
One of the greatest risks of being entrepreneur is the risk of business failure
What is one of the greatest risks of being entrepreneur?One of the greatest risks of being an entrepreneur is the possibility of business failure. Starting a new business is inherently risky, as there is no guarantee that the business will be successful.
Entrepreneurs may invest significant time, money, and resources into their businesses, but still be unable to generate sufficient revenue to cover their costs or turn a profit. Business failure can be financially and emotionally devastating for entrepreneurs, as well as damaging to their reputation and future career prospects.
Learn more about entrepreneur at https://brainly.com/question/353543
#SPj1
Aflak Corporation, an Omani firm, is currently planning goods market in India. Aflak Corporation will most likely discover that_____ beliefs and values are more open to change in India. Select one:
a. core
b. traditional
c. primary
d. secondary
Answers
The correct answer is B) traditional.
Aflak Corporation, an Omani firm, is currently planning goods market in India. Aflak Corporation will most likely discover that traditional beliefs and values are more open to change in India.
When a multinational company is planning on initiating operations in another country, it has to be very sensible of the traditional values of that country. The company is getting into a new market and people could have different belief systems, different culture, traditions, and customs, that need to be carefully assessed by the multinational company if they are about to be successful in the new country.
This is the case of India, which has always have very strict traditional values, although younger generations are relaxing those values in recent years.
Nancy Patel is doing research before opening a store specializing in traditional Indian clothing in order to locate her target market she should study A business values B fashion trends C demographics D overall buying behaviors
Answers
Before starting a shop that specializes in traditional Indian apparel, Nancy Patel is conducting research. must research demographics in order to find her target market.
Define demography.Demography is a statistical field that examines human demographics. Population size, composition, and mobility are all factors that are studied in demography as they relate to time and space. It applies methods from many academic fields, including sociology, anthropology, and economics. Demography is a tool that governments and businesses can use to analyze and predict population-related economic, cultural, and economic phenomena.
The earliest renowned demographers, such John Graunt of a United Kingdom, didn't emerge until the 16th century, while basic demographic studies, such as censuses, were conducted as far back as 6,000 decades ago in the ancient world. The early statistical research's main focus was mortality
To know more about target markets visit:
https://brainly.com/question/6253592
#SPJ1
discuss the pillars of government sector supply chain management.
Answers
Answer:
Pillar 1 – Vulnerability. ...
Pillar 2 – Management Culture. ...
Pillar 3 – Procurement. ...
Pillar 4 – Operations. ...
Pillar 5 – Demand & Visibility.
Explanation:
hope it's helpful to you
You are the director of creation department in your business, ANGA Ltd. The establishment makes pairs of Kitenge to be offered domestically and internationally The costs need to be incurred in making of a pair of Kitenge are listed below
Direct Materials TZS 1500
Direct labour TZS 1200
Overhead costs TZS 1300
In adding to the aforementioned items, the other expenses are also included as below:
Advertisement TZS 3 million
Salaries TZS 4 million
Rent TZS 5 million
Presently, the firm makes and offers 15,000 pairs of Kitenge at a charge of TZS 5000 each pair.
REQUIRED:
i. Calculate the breakeven in pairs of Kitenge sold and in currency value. [5 Marks]
ii. Determine pairs of Kitenge to be made and offered to bring an earning of TZS 1,000,000?
iii. Determine pairs of Kitenge to be made and offered to bring an after tax earnings of TZS 1,200,000 (Tax rate=30%).
iv. In an effort to increase sales volume, Managing Director, Mr. Dan, proposed a price reduction of 7.4% and the increase of advertisement budget by 20%. Is it worthwhile to undertake the proposed decision, Justify?
Answers
1. Breakeven point (in pairs of Kitenge sold) = 3,000 pairs of Kitenge
Breakeven point (in currency value) = 3,000 x TZS 5000 = TZS 15,000,000
2. To bring an earning of TZS 1,000,000, ANGA Ltd needs to make and offer 1985 pairs of Kitenge.
3. Pairs of Kitenge = 2855 pairs of Kitenge
How to solve for the breakeven pointTotal cost = Direct materials + Direct labor + Overhead costs + Additional expenses
Total cost = TZS 1500 + TZS 1200 + TZS 1300 + TZS 12,000,000
Total cost = TZS 12,003,000
Breakeven point (in units) = Fixed costs / (Price per unit - Variable costs per unit)
Price per unit is TZS 5000, and the variable cost per unit is the total cost per unit calculated above. The fixed costs are the sum of salaries, rent, and advertisement, which is:
Fixed costs = TZS 4,000,000 + TZS 5,000,000 + TZS 3,000,000
Fixed costs = TZS 12,000,000
Breakeven point (in pairs of Kitenge sold) = TZS 12,000,000 / (TZS 5000 - TZS 12,003)
Breakeven point (in pairs of Kitenge sold) = 3,000 pairs of Kitenge
The breakeven point in currency value is:
Breakeven point (in currency value) = Breakeven point (in pairs of Kitenge sold) x Price per unit
Breakeven point (in currency value) = 3,000 x TZS 5000 = TZS 15,000,000
ii. To bring an earning of TZS 1,000,000, we need to calculate the contribution margin per unit, which is the difference between the price per unit and the variable cost per unit:
Contribution margin per unit = Price per unit - Variable cost per unit
Contribution margin per unit = TZS 5000 - TZS 12,003
Contribution margin per unit = TZS -7003
To earn TZS 1,000,000, we can use the following formula:
Pairs of Kitenge = (Fixed costs + Earnings) / Contribution margin per unit
Pairs of Kitenge = (TZS 12,000,000 + TZS 1,000,000) / (TZS -7003)
Pairs of Kitenge = 1985 pairs of Kitenge (rounded up to the nearest whole number)
Therefore, to bring an earning of TZS 1,000,000, ANGA Ltd needs to make and offer 1985 pairs of Kitenge.
iii. To determine the pairs of Kitenge needed to bring an after-tax earnings of TZS 1,200,000, we need to take into account the tax rate. Assuming a tax rate of 30%, the net earnings required would be:
Net earnings = After-tax earnings / (1 - Tax rate)
Net earnings = TZS 1,200,000 / (1 - 0.30)
Net earnings = TZS 1,714,286
Using the contribution margin per unit calculated in (ii) above, we can determine the number of pairs of Kitenge needed to generate this net earnings:
Pairs of Kitenge = (Fixed costs + Net earnings) / Contribution margin per unit
Pairs of Kitenge = (TZS 12,000,000 + TZS 1,714,286) / (TZS -7003)
Pairs of Kitenge = 2855 pairs of Kitenge (rounded up to the nearest whole
Read more on Break even point here:https://brainly.com/question/21137380
#SPJ1
Answer:
Explanation:
i. Calculate the breakeven in pairs of Kitenge sold and in currency value. [5 Marks]
what is one of the biggest problems today that has resulted from increase productivity?
Answers
One of the biggest problems today that has resulted from increased productivity is "Mental Stress."
This is because as the productivity level of companies increases, such increase is attributed to employees giving more energy and time to the production.Working for extended hours with more energy has its downsides.Aside from getting tired, and perhaps disinterested, there is also a danger of mental stress.Also, it may lead to employees being undervalued, because companies managers would expect more from the employees with little or no rise in remuneration.Hence, in this case, it is concluded that the biggest problem today that has resulted from increased productivity is "Mental Stress."
Learn more here: https://brainly.com/question/2992817
A. At the garage, mechanics changed the
oil, fixed the brakes, and checked the
transmission
B. The delegates spent the day arguing
with each other rather than work together to
find common solutions.
C. Pat likes to jog, hiking, and playing
football
D. The production manager was asked to
write his report quickly, accurate, and in a
thorough manner.
Answers
Answer:
A. At the garage, mechanics changed the oil, fixed the brakes and checked the transmission.
Explanation:
Jacob wanted a parking space in a nearby lot. He filled out an application and a computer generated his choices. This is an example of distribution by _____
Answers
Answer: lottery
Explanation:
please help! thank you!
the risks of borrowing money include:
A. tax-deductible interest on borrowing
B. a convenient way to make purchases
C. an increase to your credit limit
D. harm to your credit reputation
Answers
Answer:
D
Explanation:
Whether you have a loan or a credit card, making late payments or missing payments can cause your credit score to fall.
The entry to pay a previously declared dividend of $.25 per share on 12,500 outstanding shares of common stock requires a:
Answers
Answer:
debit to dividends payable for $3,125
Explanation:
Based on the information given the journal entry to pay a previously declared dividend of the amount of $.25 per share on 12,500 outstanding shares of common stock requires a:
Debit to dividends payable for $3,125
Calculated as:
Dividends payable =Dividend of the amount of $.25 per share *12,500 outstanding shares of common stock
Dividends payable=$3,125
examination of recent data of many countries shows that countries with very high saving rates generally have high level of output per person
Answers
The answer is b. A higher saving rate does result in a higher steady-state capital stock and a higher level of output.
What is the greatest way to define savings?The fraction of money left over after paying for expenses is what is saved. In other words, it refers to money that has been set away for use later on rather than being immediately spent.
What is saving, and why is it significant?The fraction of money left over after paying for current expenses is known as savings. Because no one can see the future, it is advisable to store money in case of emergencies or unforeseen circumstances. A person's dishwasher may start to leak, their automobile could break down, or they could experience a medical emergency.
To know more about Savings visit:
https://brainly.com/question/30004719
#SPJ1
QUESTIONS
1. Explain how the procurement process is handled by the city of Copenhagen
Answers
Answer:um
Explanation:
What is something you would buy (or buy more of) if its price dropped? What is it about this product that appeals to you?
Why do you think this product's price is at its curent level?
Answers
Answer:
bath bomb
Explanation:
because there really pretty, and i really dont know if this helped you but here you go
Draw a graph with Goods Per Day on the vertical axis and Leisure Hours Per Day increasing from left to right on the horizontal axis. Show that a person who works can work fewer hours and increase utility when the wage rate increases.
Answers
The person's financial limitation would be represented by a curve that sloped from left to right, showing that the more free time someone has, the fewer things they can afford, and vice versa.
What does a graph with a market supply curve's vertical axis mean?In economics, the supply curve is a graphical depiction of the relationship between the price of a good and the amount of it that a seller is willing and able to supply.
What products have vertical supply curves as examples?A vertical supply curve demonstrates that the supply of a certain commodity is fixed and unaffected by price. Helium, for instance, has a limited supply, hence the market will determine its price rather than increasing supply.
To know more about financial visit:-
https://brainly.com/question/29641948
#SPJ9
Latasha is training for a triathlon, a timed race that combines swimming, biking, and running. Consider the following sentence: Because her pool sessions are helping her swim more quickly, Latasha plans to reduce by 1 hour per week the time she spends training on the bike and increase by 1 hour the time she spends in the swimming pool; however, her husband says that she should stop doing any biking and running and spend all 20 hours per week in the pool. Which basic principle of individual choice does Latasha's plan illustrate that her husband's advice does not?
a. People usually exploit opportunities to benefit themselves.
b. All costs are opportunity costs
c. Resources are scarce.
d. Many decisions are taken using marginal thinking
Answers
The principle that Latasha caters for that her husband does not is that d. Many decisions are taken using marginal thinking.
Marginal decision makingInvolves making decisions based on the marginal costs and benefits. A person will make a decision that has more benefits than costs.By swimming more, Latasha would make get the benefit of being better at something she is already good at. If all she does is swimming however, she would incur costs of losing out in the other activities which would surpass the benefits of being good in swimming alone.
In conclusion, option D is correct.
Find out more about marginal decision making at https://brainly.com/question/13764545.
What elements should an ideal CRR plan include?
Answers
The following components belong in a perfect CRR plan. communication lines that are clear, empathy and understanding, activity that is swift and efficient, Feedback and follow-up Continual development
A CRR report: what is it?The Cyber Resilience Assessment (CRR) is an evaluation of an organisation s resilience or cybersecurity measures based on interviews. Your organization will get knowledge of how to handle cyber risk during both regular operations and during periods of stress levels and catastrophe through the CRR.
What is CRR's emergency response?Your department can use what you already know to reduce hazards in your operational area with the aid of a community reducing risk (CRR) program. CRR employs a wide range of instruments to create a strategy and integrated program aimed at minimizing the occurrence and effects of local risks.
To know more about CRR visit:
https://brainly.com/question/30813799
#SPJ1
What is the fundamental economic problem?
Answers
..........................
Allison bought a bond when it was issued by ABC Corporation 20 years ago. The bond, which has a $1,000 face value and a coupon rate equal to 10 percent, matures in eight years. Interest is paid every six months; the next interest payment is scheduled for six months from today. If the yield on similar risk investments is 8 percent, what should be the current market value (price) of the bond
Answers
Answer:
Current market value (price) of the bond = $ 1,081.11
Explanation:
The current market value (price) of the bond can be calculated using the following excel function:
Current market value (price) of the bond = PV(rate, NPER, -PMT, -FV) ........... (1)
Where:
rate = Semiannual yield on similar risk investments = yield on similar risk investments / 2 = 8% / 2 = 4%
NPER = Number of period = Year to maturity * Number of semiannuals in a year = 8 * 2 = 16
PMT = Payment = (FV * Coupon rate) / Number of semiannuals in a year = ($1,000 * 10%) / 2 = $50 = 50
FV = Face value = $1,000 = 1000
Substituting all the relevant value into equation (1), we have:
Current market value (price) of the bond = PV(4%, 10, -50, -1000)
Inputing =PV(4%, 10, -50, -1000) in any cell in excel sheet (Note: as done in the attached excel file), we have:
Current market value (price) of the bond = $ 1,081.11
What are payroll taxes?
Answers
Answer:
This is all the information I could find.
What are some tasks commonly performed in Facility and Mobile Equipment Maintenance jobs? Check all that apply.
testing vehicles to identify problems
cleaning vehicles and equipment
analyzing the flow of traffic
communicating with customers
steering and navigating vehicles
documenting information
Answers
Answer:
A,B,D,F
is correct
Explanation:
Cardinal Company is considering a five-year project that would require a $2,750,000 investment in equipment with a useful life of five years and no salvage value. The company’s discount rate is 18%. The project would provide net operating income in each of five years as follows:
Sales $ 2,849,000
Variable expenses 1,122,000
Contribution margin 1,727,000
Fixed expenses:
Advertising, salaries, and other out-of-pocket costs $ 752,000
Depreciation 550,000
Total fixed expenses 1,302,000
Net operating income $ 425,000
2-a. What are the project’s annual net cash inflows?
2-b. What is the present value of the project’s annual net cash inflows? (Round discount factor to 5 decimal places)
3.Assume a post-audit showed that all estimates (including total sales) were exactly correct except for the variable expense ratio, which actually turned out to be 45%. What was the project’s actual net present value? (Negative amount should be indicated by a minus sign. Round discount factor(s) to 3 decimal places, intermediate calculations and final answer to the nearest whole dollar amount.)
Answers
1. The annual cash inflows is $975000.
2. The Present value factor at IRR is 22.7%.
3. The payback period is 2.82 years
4. The simple rate of return is 15.45%.
How to calculate the value?1. Annual cash inflows = Net operating income + Depreciation = $425,000 + $550,000 = $975,000
2. Present value factor at IRR = Initial investment / Annual cash inflows = $2,750,000 / $975,000 = 2.821
This PV Factor falls between discount rate 22% and 23%
PV factor at 22% = 2.864
PV factor at 23% = 2.803
IRR = 22% + (2.864 - 2.821) / (2.864 - 2.803)
= 22.7%
3. Payback period = Initial investment / Annual cash inflows = $2,750,000 / $975,000 = 2.82 years
4. Simple rate of return = Net operating income / Initial investment = $425,000 / $2,750,000 = 15.45%
Learn more about rate of return on:
https://brainly.com/question/1789817
#SPJ1
Economics budget line Q
Answers
Aoife's budget line is is -2
Aoife's equilibrium consumption of milk and bread is 20 units of milk and 60 units of bread.
What is Aoife's budget line?Budget line equation: 2M + B = 100, where M represents the quantity of milk and B represents the quantity of bread.
The equation above is a linear equation representing Aoife's budget constraint. The slope of the budget line is -2, which means that the opportunity cost of one unit of milk is two units of bread.
Illustration of her equilibrium consumption of milk and bread:To find the point of equilibrium, we need to find the point where the slope of the indifference curve is equal to the slope of the budget line. This is the point where the marginal rate of substitution (MRS) is equal to the price ratio.
The price ratio is 2:1 (the price of milk is twice the price of bread), so the slope of the budget line is -2. The slope of the indifference curve is -1/2, so we need to find the point where -1/2 = -2, which is (20, 60) (20 units of milk and 60 units of bread).
What is her marginal rate of substitution at the equilibrium allocation in part b?The marginal rate of substitution (MRS) at the equilibrium allocation is the rate at which Aoife is willing to trade off milk for bread while remaining on the same indifference curve. It is equal to the absolute value of the slope of the indifference curve at the equilibrium point.
In this case, the slope of the indifference curve is -1/2, so the MRS is 1/2 (the absolute value of -1/2). This means that Aoife is willing to give up half a unit of milk for one unit of bread while remaining on the same indifference curve at the equilibrium point.
Read more about budget line
brainly.com/question/14524034
#SPJ1
A diesel-powered tractor with a cost of $250,020 and an estimated residual value of $6,200 is expected to have a useful operating life of 73,000 hours. During April, the tractor was operated 200 hours. Determine the depreciation for the month. If required, carry out any division to two decimal places. $fill in the blank 1
Answers
Answer: 365
Explanation:
Who was given the nickname 'Master of Hotel Finance ? Conrad Hilton
Bill Kimpton
Cezar Ritz
JW Marriott Jr.
Answers
Answer:
JW Marriott JR
am not sure hope this will help
Answer:
Conrad Hilton
Explanation:
The biggest hotel man in the world; NY Times described as "master of hotel finance". He formed the first major chain of American hotels in 1954.
attached is the question I need help
Answers
Horizon value of Goodwin’s stock will be $38.75
How to calculate the valuesDividend in Year 3 (D3) = $2.5000 per share
Dividend in Year 4 (D4) = $2.8250 per share [$2.5000 x 113%]
Dividend in Year 5 (D5) = $3.1923 per share [$2.8250 x 113%]
Dividend Growth Rate after 5th year (g) = 3.66% per year
Required Rate of Return (Ke) = 12.20%
Therefore, the Horizon value of Goodwin’s stock at the end of year 5 = D5(1 + g) / (Ke – g)
= $3.1923(1 + 0.0366) / (0.1220 – 0.0366)
= $3.3091 / 0.0854
= $38.75 per share
“Hence, the Horizon value of Goodwin’s stock will be $38.75”
The Current intrinsic value of Goodwin Technologies’ stock will be $27.14”
Goodwin’s current expected dividend and capital gains yields
Current Expected Dividend Yield
Current Expected Dividend Yield = 0.00%
Current Expected Capital Gains Yield
Current Expected Capital Gains Yield would be the Goodwin’s Required Rate of Return = 12.20%
Current Expected Dividend Yield = 0.00%
Current Expected Capital Gains Yield = 12.20%
Learn more about stock on
https://brainly.com/question/26128641
#SPJ1