Answer:
you owe $43.47 in one month
Explanation:
Daily Interest (for one month) = Balance × APR rate × [number of month / Total month in a year]
Daily Interest = $1800 × 28.99% × 1/12
= $1800 × 0.2899 × 0.0833
= $43.47
Answer:
C.
Explanation:
Is a temporary assembly-line-oriented arrangement of machines and personnel in what is ordinarily a process-oriented facility.
Workcells are designed to improve the process flow and eliminating waste.
Characteristics:
- Reorganizes people and machines into groups to focus on single products or product groups.
- Group technology identifies products that have similar characteristics for particular cells.
- Volume must justify cells.
- Cells can be reconfigured as designs or volume changes.
Requirements:
- Identification of families of products.
- A high level of training and flexibility on the part of employees.
- Either staff support or flexible, imaginative employees to establish work cells initially.
Answer:
8.8%
Explanation:
Given:
Excess return = 6% = 0.06
Return respond factor = 1.2
Expected higher percent = 1.5% = 0.015
Increase growth (stock price) = 1% = 0.01
Actual excess return = ?
Computation of actual excess return:
Actual excess return = Excess return + Increase growth (stock price) + [Expected higher percent × Return respond factor]
= 0.06 + 0.01 + [0.015 × 1.2]
= 0.07 + [0.018]
= 0.088
= 8.8%
Answer:
a)
P₀ = Div₁ / (Re - g)
- P₀ = current stock price = ?
- Div₁ = next dividend = $8
- Re = equity cost = 10%
- g = constant growth rate = 5%
P₀ = $8 / (10% - 5%) = $8 / 5% = $160
b)
EPS = $12
Return on equity (ROE) = g / b
b = retention rate = 1 - payout ratio = 1 - ($8/$12) = 0.333
g = 5%
ROE = 5% / 0.333 = 15%
c)
Present value of growth opportunity (PVGO) = P₀ - EPS/Re
- P₀ = $160
- EPS = $12
- Re = 10%
PVGO = $160 - $12/10% = $160 - $120 = $40 per share
