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Author Question: Uncle Tim's Inventions has an expected dividend next year of 3.60 and a required return of 12 ... (Read 60 times)

hbsimmons88

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on: Jul 10, 2018
Uncle Tim's Inventions has an expected dividend next year of 3.60 and a required return of 12 percent. Assuming the dividends will be paid indefinitely, calculate the value of a share of common stock assuming a zero growth rate of dividends.
 
  What will be an ideal response?

Question 2

One way a firm can reduce the amount of cash it needs in any month is to ________.
 
  A) slow down the payment of receivables
  B) delay the payment of wages
  C) accrue taxes
  D) speed up payment of accounts payable


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k.lashomb

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Reply #1 on: Jul 10, 2018
Answer to Question 1

The value of a share of common stock = = 30

Answer to Question 2

B


hbsimmons88

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Reply 2 on: Jul 10, 2018
Excellent

Animal_Goddess

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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