Extruded Elements had Net Income of $25,000,000 last year, and $26,250,000 this year (in line with its long-term earnings growth rate). There are 4,000,000 shares outstanding, and the firm follows a policy of paying 30% of its earnings out as dividends, the required rate of return on extruded's shares is 13%. What is the share price today based on the Gordon growth model?
Q: Please need answer Accounting question
A: Step 1: Define Variance AnalysisThe variance analysis for a firm is usually carried out for…
Q: On January 1, 2021, Crane Corporation issued $5400000, 10-year, 9% bonds at 102. Interest is payable…
A: 1. Understanding the ProblemCrane Corporation issued $5,400,000 in bonds on January 1, 2021. These…
Q: General administration and top management costs would MOST likely be classified as a Select one:…
A: In cost accounting, costs are often categorized based on their behavior, traceability,…
Q: When does the matching principle require modification in start-up companies?
A: Explanation of Matching Principle: The matching principle is a fundamental accounting concept that…
Q: How do rolling forecasts enhance traditional budgeting methods? a) Quarterly reviews are eliminated…
A: For a predetermined time frame, such the next 12 or 18 months, a rolling forecast is a financial…
Q: Hi expert please give me answer general accounting
A: Step 1: Define Net Cash Flow (NCF)The difference between money entering into a company (called…
Q: I want to correct answer general accounting
A: Step 1: Define Gain or Loss on Asset DisposalWhen a company sells one of its fixed assets, the…
Q: Question for Accounting Policies
A: Key Definitions:Explanation of Professional Judgment: Professional judgment in accounting refers to…
Q: What would party expenses be under in general ledg
A: The general ledger is the primary accounting tool used by businesses to keep track of all financial…
Q: Hi expert please provide this question solution general accounting
A: Step 1: Calculate the cost of processing customer orders by multiplying the activity rate by the…
Q: Financial accounting
A: To find the required return for the market, we need to:Take the risk-free rate (RF)Add the market…
Q: Solve this step by step
A: Step 1: List all the given:Beginning Count: 250Purchased: 300Sold: 420Physical Count: 115 Step 2:…
Q: Need help with this question solution general accounting
A: Step 1:Computation of the market value of the total equity after dividend: (Market values) Note: No…
Q: Hello Tutor Please answer of this Accounting Subject Question
A: To calculate the Return on Common Stockholders' Equity (ROE), we use the following formula:ROE=(Net…
Q: To measure... accounting question
A: Step 1: Define Inventory Turnover Ratio:The inventory turnover ratio is an effective inventory…
Q: Kansas company uses a stan...Accounting question
A: calculate the standard cost per unit of product, we need to determine the total standard cost for…
Q: Answer in step by step with explanation. Don't use Ai and chatgpt.
A: Step 1:An asset is a resource that is in the jurisdiction of an entity and from which the entity…
Q: Cost accounting questions give answer
A: Explanation: In the given case, we are required to calculate the amount of gross margin from the…
Q: Give answer with Explanation
A: ReferencesInderst, G. (2010). Infrastructure as an asset class. EIB papers, 15(1), 70-105.Greer, R.…
Q: Financial Accounting
A: Initial Outlay = $3,798Future Value = $9,684Cost of Capital = 14.18%Time = 7 years Present Value…
Q: None
A: Step 1: Calculate Gain or Loss on Sale of Assets• For Building: Sales Price - Book Value• For…
Q: The costs for environmental clean-up at the end of an asset’s useful life (under ASPE) Select one:…
A: The Accounting Standards for Private Enterprises (ASPE) is a set of accounting standards that are…
Q: Answer
A: Proceed with the following procedures in order to compute the supply variance:The formula is:The…
Q: Financial Accounting Question please need help
A: Step 1: Define Bonds Payable: MeasurementBonds payable should be initially measured at its fair…
Q: Which method measures depreciation directly? Oa. Sales comparison Ob. Cash equivalency O c. Age-life…
A: Depreciation is the systematic allocation of the cost of a tangible or physical asset over its…
Q: Hello tutor please provide this question solution general accounting
A: Step 1: Define Under-or-Overapplied Manufacturing Overhead:The predetermined overhead rates that are…
Q: How does the concept of objectivity influence the selection and application of accounting methods…
A: Key Definitions:Explanation of Objectivity: Objectivity in accounting refers to the principle that…
Q: General finance
A: 1. Calculate the P/E ratio (using last year's data):We are given:Last year's Earnings per Share…
Q: Karley Company sold equipment on July 1, 2021 for $75,000. The equipment had cost $210,000 and had…
A: Understanding the Transaction:Karley Company is selling a piece of equipment, and we need to record…
Q: Can you please solve these general accounting question without use Ai?
A: Step 1: Define ShareShares can be defined as a small proportion of business that is offered by the…
Q: Required information [The following information applies to the questions displayed below.] On…
A: Journal EntryThe fair value adjustment ensures the investment is reported at its market value on the…
Q: Find the missing units
A: Explanation of Beginning Inventory: Beginning inventory refers to the amount of stock or goods that…
Q: Please give me answer Accounting question
A: Step 1: Define Cost of Goods ManufacturedIn business and finance, the amount of the cost of goods…
Q: On January 1 20x1 , the kane manufacturing company purchased
A: Step 1: Define Accumulated DepreciationAccumulated depreciation aggregates the expense a company has…
Q: Need answer the general accounting question not use ai
A: Step 1: Define Cost of Goods ManufacturedThe total cost of goods manufactured can be calculated by…
Q: Hello tutor please provide this question solution general accounting
A: Step 1: Define Total Debt RatioTotal debt ratio is an indicator of a firm's capital structure. The…
Q: Give true answer the accounting question
A: Step 1: Calculate the total paper required for productionStep 2: Calculate the total paper needed…
Q: Business 123 Introduction to Investments May I please have the solution for the following exercise?…
A: To solve this question, we need to calculate the conversion ratio for the convertible bond. The…
Q: I am waiting for Your answer tutor
A: Approach to solving the question: Research and Analysis Key references:accaglobal.com. (2012). A…
Q: Hello tutor please provide this question solution general accounting
A: Step 1: Define CVP AnalysisCVP analysis or cost volume profit analysis is concerned with determining…
Q: Mickley company plantwide predetermined solve this question ❓
A: Step 1: Define Overhead RateFirms charge overheads at a predetermined rate. The predetermined rate…
Q: Admire County Bank agrees to lend Crane Brick Company $590000 on January 1. Crane Brick Company…
A: Step 1:The journal entry to record the issuance of notes is as follows: DateAccount Titles and…
Q: Poppy co. Uses a periosic inventory system.....accounting questions
A: To determine the correct cost of goods sold (COGS), adjust for the inventory errors.1. Understated…
Q: I want to correct answer general accounting
A: Step 1: Define Manufacturing overhead costThe cost of manufacturing overhead is the cost of all of a…
Q: Hi expert minion inc. Has no debt outstanding this question solution accounting
A: To calculate the Return on Equity (ROE) for Minion, Inc., under different economic scenarios, we…
Q: Following the inventry
A: To calculate the ending inventory balance using the lower of cost or net realizable value (NRV)…
Q: Financial accounting
A: Step 1: Define Manufacturing CostsManufacturing costs are production costs that incur during the…
Q: Please give me accounting question
A: Calculations and Explanation:Given Data:2. Effective Cost of the Credit Line (with Compensating…
Q: please solve given general accounting problems
A: Step 1: Introduction to inventory valuationInventory valuation is referred to as that method which…
Q: Give me Labor Cost.
A: Step 1: Calculate Labor Cost for Cleaning• Formula: Cost for Cleaning = Hours for Cleaning × Rate…
Extruded elments had net income of $25000000 last year solution general accounting
Step by step
Solved in 2 steps
- Please give me answer general accountingBreakaway wealth had net earnings of $336,000 this past year. dividends were paid of $77,280 on the company's book equity of $2,800,000. if Safeway has 175,000 shares outstanding with a current market price of $21 per share, what is the required rate of return?FedEx Corporation (FDX) has a current share price of $157.56 and is expected to have earnings per share (EPS) next year of $11.04 per share. Analysts expect that FedEx's closest competitor, United Parcel Service, Inc. (UPS), will have earnings next year of $8.33 per share. FedEx's cost of capital is 11%. What is your current estimate of the value of one share of UPS stock using the method of comparables? OA. $118.88 OB. $208.82 OC. $75.73 OD. $14.27 OE. $154.85 OF. None of the above is withing $0.35 of the value of one share of UPS stock. C
- FedEx Corporation (FDX) has a current share price of $157.62 and is expected to have earnings per share (EPS) next year of $11.32 per share. Analysts expect that FedEx's closest competitor, United Parcel Service, Inc. (UPS), will have earnings next year of $8.37 per share. FedEx's cost of capital is 11%. What is your current estimate of the value of one share of UPS stock using the method of comparables? OA. $213.17 OB. $76.09 OC. $13.92 OD. $116.54 OE. $154.67 OF. None of the above is withing $0.35 of the value of one share of UPS stock.Growth Company's current share price is $19.95 and it is expected to pay a $1.00 dividend per share next year. After that, the firm's dividends are expected to grow at a rate of 3.8% per year. a. What is an estimate of Growth Company's cost of equity? b. Growth Company also has preferred stock outstanding that pays a $2.30 per share fixed dividend. If this stock is currently priced at $28.15, what is Growth Company's cost of preferred stock? C. Growth Company has existing debt issued three years ago with a coupon rate of 5.8%. The firm just issued new debt at par with a coupon rate of 6.6%, what is Growth Company's cost of det? d. Growth Company has 5.4 million common shares outstanding and 1.2 million preferred shares outstanding, and its equity has a total book value of $50.1 million. Its liabilities have a market value of $20.3 million. If Growth Company's common and preferred shares are priced as in parts (a) and (b), what is the market value of Growth Company's assets? e, Growth…c. Growth Company has existing debt issued three years ago with a coupon rate of 5.5%. The firm just issued new debt at par with a coupon rate of 6.2%. What is Growth Company's cost of debt? (Select from the drop-down menus.) The pre-tax cost of debt is the firm's YTM on current debt. Since the firm recently issued debt at par, then the coupon rate of that debt must be the YTM of the debt. Thus, the pre-tax cost of debt is d. Growth Company has 4.7 million common shares outstanding and 1.1 million preferred shares outstanding, and its equity has a total book value of $50.0 million. Its liabilities have a market value of $20.1 million. If Growth Company's common and preferred shares are priced as in parts (a) and (b), what is the market value of Growth Company's assets? The market value of assets is $ million. (Round to two decimal places.) e. Growth Company faces a 22% tax rate. Given the information in parts (a) through (d), and your answers to those problems, what is Growth Company's…
- Growth Company's current share price is $20.10 and it is expected to pay a $0.95 dividend per share next year. After that, the firm's dividends are expected to grow at a rate of 4.5% per year. a. What is an estimate of Growth Company's cost of equity? b. Growth Company also has preferred stock outstanding that pays a $2.00 per share fixed dividend. If this stock is currently priced at $28.15, what is Growth Company's cost of preferred stock? c. Growth Company has existing debt issued three years ago with a coupon rate of 6.2%. The firm just issued new debt at par with a coupon rate of 6.3%. What is Growth Company's pretax cost of debt? d. Growth Company has 4.9 million common shares outstanding and 1.2 million preferred shares outstanding, and its equity has a total book value of $50.1 million. Its liabilities have a market value of $20.2 million. If Growth Company's common and preferred shares are priced as in parts (a) and (b), what is the market value of Growth Company's assets? e.…Sydney Ltd. was paid a dividend of $3.97 last year. If the company's growth in dividends is expected to be 10 percent thereafter forever, then what is the cost of equity capital for Sydney Ltd. if the price of its ordinary shares is currently $26.71? (Round to nearest percentage)Growth Company's current share price is $20.30, and it is expected to pay a $1.10 dividend per share next year. After that, the firm's dividends are expected to grow at a rate of 4.2% per year. a. What is an estimate of Growth Company's cost of equity? b. Growth Company also has preferred stock outstanding that pays a $2.30 per share fixed dividend. If this stock is currently priced at $28.05, what is Growth Company's cost of preferred stock? c. Growth Company has existing debt issued three years ago with a coupon rate of 5.6%. The firm just issued new debt d. Growth Company has 4.5 million common shares outstanding and 1.1 million preferred shares outstanding, and its equity has a total book value of $50.0 million. Its liabilities have a market value of $19.6 million. If Growth Company's common and preferred shares are priced at $20.30 and $28.05, respectively, what is the market value of Growth Company's assets? e. Growth Company faces a 40% tax rate. Given the information in parts a…
- Growth Company's current share price is $20.30 and it is expected to pay a $0.90 dividend per share next year. After that, the firm's dividends are expected to grow at a rate of 4.4% per year. a. What is an estimate of Growth Company's cost of equity? b. Growth Company also has preferred stock outstanding that pays a $2.25 per share fixed dividend. If this stock is currently priced at $28.25, what is Growth Company's cost of preferred stock? c. Growth Company has existing debt issued three years ago with a coupon rate of 6.1%. The firm just issued new debt at par with a coupon rate of 6.6%. What is Growth Company's cost of debt? d. Growth Company has 5.5 million common shares outstanding and 1.4 million preferred shares outstanding, and its equity has a total book value of $50.2 million. Its liabilities have a market value of $19.5 million. If Growth Company's common and preferred shares are priced as in parts (a) and (b), what is the market value of Growth Company's assets? e. Growth…Ivanhoe Tire Co. just paid an annual dividend of $1.20 on its common shares. If Ivanhoe is expected to increase its annual dividend by 7.10 percent per year into the foreseeable future and the current price of Ivanhoe’s common shares is $11.92, what is the cost of common stock for Ivanhoe? - Cost of common stock?McPherson Pharmaceutical has common stock that is trading for $75 per share. The company paid a dividend of $5.25 last year. This dividend is expected to increase at a rate of 3% per year. What is the cost of equity capital for McPherson? If McPherson issues new shares with a flotation cost of $2 per share, what is the company’s cost of new equity?(using excel formulas)