This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Pinnacle Financial Management projects that earnings per share for Valley Imports Inc. will increase ... (Read 84 times)

ereecah

  • Hero Member
  • *****
  • Posts: 530
on: Jul 11, 2018
Pinnacle Financial Management projects that earnings per share for Valley Imports Inc. will increase from the current 1.75 per share to 2.00 next year.
 
  If Pinnacle recommends a P/E ratio of 12.5 for Valley Imports, what is the recommended forward looking price for the firm?
  A) 21.88 per share
  B) 25.00 per share
  C) 23.44 per share
  D) 6.25 per share

Question 2

Mark purchased a boat owners package policy. While using his boat, he negligently hit a pier. A person standing on the pier fell and was severely injured.
 
  Which of the boat owners package policy coverages will respond to a lawsuit filed as a result of this negligent act?
  A) physical damage coverage
  B) liability coverage
  C) medical expense coverage
  D) uninsured boaters coverage


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

rleezy04

  • Sr. Member
  • ****
  • Posts: 322
Reply #1 on: Jul 11, 2018
Answer to Question 1

B
Explanation: B) Price = EPS  multiple = 2.00  12.5 = 25.00.

Answer to Question 2

Answer: B


ereecah

  • Hero Member
  • *****
  • Posts: 530
Reply #2 on: Jul 11, 2018
Thank you


rleezy04

  • Sr. Member
  • ****
  • Posts: 322
Reply #3 on: Jul 11, 2018
No problemo


« previous next »
 

Did you know?

Immunoglobulin injections may give short-term protection against, or reduce severity of certain diseases. They help people who have an inherited problem making their own antibodies, or those who are having certain types of cancer treatments.

Did you know?

Before a vaccine is licensed in the USA, the Food and Drug Administration (FDA) reviews it for safety and effectiveness. The CDC then reviews all studies again, as well as the American Academy of Pediatrics and the American Academy of Family Physicians. Every lot of vaccine is tested before administration to the public, and the FDA regularly inspects vaccine manufacturers' facilities.

Did you know?

Asthma is the most common chronic childhood disease in the world. Most children who develop asthma have symptoms before they are 5 years old.

Did you know?

About 3.2 billion people, nearly half the world population, are at risk for malaria. In 2015, there are about 214 million malaria cases and an estimated 438,000 malaria deaths.

Did you know?

People often find it difficult to accept the idea that bacteria can be beneficial and improve health. Lactic acid bacteria are good, and when eaten, these bacteria improve health and increase longevity. These bacteria included in foods such as yogurt.

Changes in Synaptic Density From Birth to Age 2 Synaptic connections increase throughout the first Changes in Synaptic Density From Birth to Age 2 Synaptic connections increase throughout the first
Fraternal twins share about 50 percent of their segregating genes. Fraternal twins share about 50 percent of their segregating genes.
Typical components of software for a practice management system (PMS). Typical components of software for a practice management system (PMS).
Average Hourly Earnings of U.S. Workers in Current and Constant Dollars Average Hourly Earnings of U.S. Workers in Current and Constant Dollars
Factors that Increase Cardiac Output Factors that Increase Cardiac Output
Suppose a country imports televisions. The country's supply and demand curves are shown in ... Suppose a country imports televisions. The country's supply and demand curves are shown in ...
Video: Neuron structure and function - sensory neurons, association neurons & motor neurons

For a complete list of videos, visit our video library