Answer:
Non-Dividend-Paying Stock
i) Calculation of the expected future price:
EVENT PROBABILITY FUTURE PRICE P RETURN R
A 0.18 $180 $32.40
B 0.09 $108 $9.72
C 0.3 $90 $27.00
D 0.25 $81 $20.25
E 0.18 $225 $40.50
Total 1.0 $129.87 $129.87
Future price = the expected returns = $129.87
ii) Calculation of the return in each of the five events:
EVENT PROBABILITY FUTURE PRICE P RETURN R
A 0.18 $180 $32.40
B 0.09 $108 $9.72
C 0.3 $90 $27.00
D 0.25 $81 $20.25
E 0.18 $225 $40.50
iii) Calculation of the expected return:
EVENT PROBABILITY FUTURE PRICE P RETURN R
A 0.18 $180 $32.40
B 0.09 $108 $9.72
C 0.3 $90 $27.00
D 0.25 $81 $20.25
E 0.18 $225 $40.50
Total 1.0 $129.87
Explanation:
a) Data & Calculations:
EVENT PROBABILITY FUTURE PRICE P RETURN R
A 0.18 $180 ?
B 0.09 $108 ?
C 0.3 $90 ?
D 0.25 $81 ?
E ? $225
If stock A does not pay dividend, it will attract capital appreciation which compensates for the unpaid dividends since the company has increased assets over liabilities. When the assets grow more than the liabilities from the reinvestment of the profits, the net value of the business which is the equity increases. This capital growth belongs to the stockholders and is distributable to them in the form of the future price of the stock, which appreciates with the capital growth.
Answer:
Explanation:
You will need:
pens, paper, pencils, folders, notebooks, shoes and clothes for school
Your wants would be:
the air jordan shoes instead of the walmart brand.
A colorful 3d folder or notebook instead of the generic plain ones
a 5 dollar pen or pencil when you can get 12 for a dollar
Needs would be very basic items
wants are usually much more expensive
<span>when there are no taxes the stock price can be expected to drop exactly to the dividend.
so
net stock price=87-1.32
net stock price=85.68
then the total stock worth will be net stock price * no.of .shares
stock value= 85.68*150
stock value= 12,852 $</span>
Answer: 0
Explanation:
From the question, we are informed that a client invests $100,000 in a tax shelter as a limited partner, giving him a 10% interest in the program but that, the general partners cannot meet the program's expenses.
We are further told that a mortgage balance of $3 million remains, and the property of the program is liquidated for $1 million. The investor get back nothing from his original investment
This is because a limited partner will not get return of his investment. The creditors of the partnership have to be paid first in a failed program.
