Answer:
The dividend expense will total $20,000
Explanation:
We know the total shares issued = 12,000
And Treasury stock = 2,000 shares
A regular dividend of $2 per share is declared
Now, we must calculate the total dividend
Outstanding shares = Issued shares - Treasury stock = 12,000 - 2,000 = 10,000 shares
Thus, the dividend expense is calculated as $2 × 10,000 = $20,000
Therefore, the total dividend expense equates to $20,000
Answer: The average annual arithmetic return is 3.75%.
Explanation:
Year 1 = 10%
Year 2 = 15%
Year 3 = 15%
Year 4 = -25%
Total return = 15%
The arithmetic average annual return is calculated as (Year 1 return + Year 2 return + Year 3 return + Year 4 return) / 4 = 15% / 4 = 3.75%.
Answer:
There are multiple ways the management can achieve this.
Explanation:
Having a stake in something grants one benefits should it succeed.
If ABTronics’ management aims to persuade its staff regarding their investment in the firm's success, they could consider the following approaches:
1. Raise their salaries
2. Provide bonuses for extra hours worked.
3. Offer festival bonuses as well.
4. Reduce the workload by hiring additional employees.
5. Expand by opening more branches.
Response:
Conveyer Pape ought to consider Foreign Direct Investment instead.
Clarification:
This strategy for growth involves an organization setting up operations in a foreign country by constructing new facilities or purchasing an existing one, as opposed to allowing others to operate under its brand for a fee (Licensing).
While this method can be costly due to the significant capital required, when it succeeds, the investment returns are much more rewarding than merely collecting a small licensing fee or royalty.
Answer:
(a) 
(b) 
(c) X=4.975 percent
Explanation:
(a) Identify the z-value that represents 5.40 percent
.
Thus, a net interest margin of 5.40 percent stands at 2.5 standard deviations above the average.
From the standard normal distribution table, the area to the left of 2.5 is 0.9938. Hence, the likelihood of a randomly selected U.S. bank achieving a net interest margin greater than 5.40 percent is 1-0.9938=0.0062
(b) The z-value corresponding to 4.40 percent is 
The net interest margin of 4.40 percent is situated at 0.5 standard deviation above the average.
According to the normal distribution table, the area to the left of 0.5 is 0.6915
Thus, the probability of a randomly chosen U.S. bank having a net interest margin below 4.40 percent equals 0.6915
(c) The z-value indicating 95% is 1.65
Substituting 1.65 into the equation enables us to find X.
For a bank that wishes for its net interest margin to fall below that of 95 percent of all U.S. banks, it should aim for a net interest margin of 4.975 percent.
