Business, 05.12.2019 20:31 karatsgrande3772

Web cites research projects a rate of return of 20% on new projects. management plans to plow back 30% of all earnings into the firm. earnings this year will be $3 per share, and investors expect a 12% rate of return on stocks facing the same risks as web cites. a. what is the sustainable growth rate? b. what is the stock price? c. what is the present value of growth opportunities? d. what is the p/e ratio? e. what would the price and p/e ratio be if the firm paid out all earnings as dividends? f. what do you conclude about the relationship between growth opportunities and p/e ratios? projected rate of 20.00%plow back 30.00%earnings per $3.00rate of return on 12.00%

Answers: 2

Show answers

Another question on Business

Business, 21.06.2019 23:30

Actual usage for the year by the marketing department was 70,000 copies and by the operations department was 330,000 copies. if a dual-rate cost-allocation method is used, what amount of copying facility costs will be budgeted for the operations department?

Answers: 2

Answer

Business, 22.06.2019 11:50

The basic difference between macroeconomics and microeconomics is that: a. microeconomics looks at the forest (aggregate markets) while macroeconomics looks at the trees (individual markets). b. macroeconomics is concerned with groups of individuals while microeconomics is concerned with single countries. c. microeconomics is concerned with the trees (individual markets) while macroeconomics is concerned with the forest (aggregate markets). d. macroeconomics is concerned with generalization while microeconomics is concerned with specialization.

Answers: 3

Answer

Business, 22.06.2019 13:20

Suppose farmer lane grows and sells cotton in a perfectly competitive industry. the market price of cotton is $1.64 per kilogram, and his marginal cost of production is $1.44 per kilogram, which increases with output. assume farmer lane is currently earning a profit. can farmer lane do anything to increase his profit in the short run? farmer lane: a. cannot do anything to increase his profit. b. may or may not be able to increase his profit. c. can increase his profit by raising his price. d. can increase his profit by producing more output. e. can increase his profit by shutting down.

Answers: 1

Answer

Business, 22.06.2019 19:30

Oz makes lion food out of giraffe and gazelle meat. giraffe meat has 18 grams of protein and 36 grams of fat per pound, while gazelle meat has 36 grams of protein and 18 grams of fat per pound. a batch of lion food must contain at least "46,800" grams of protein and 70,200 grams of fat. giraffe meat costs $1/pound and gazelle meat costs $2/pound. how many pounds of each should go into each batch of lion food in order to minimize costs? hint [see example 2.]

Answers: 1

Answer

You know the right answer?

Web cites research projects a rate of return of 20% on new projects. management plans to plow back 3...

Questions