Cost pressure from international competitors pushes companies toward greater scale and efficiency. But some products must also m

Answer:

P14 = $55.69545045394 rounded to $55.70

Explanation:

The dividend discount model (DDM) based on constant growth can help determine the current stock price. It assesses a stock’s price using the present value of the anticipated future dividends. The formula for determining today's price with a constant growth DDM is,

P0 = D1 / (r - g)

Where,

• D1 represents the expected dividend for Year 1 or the following year

• g denotes the constant growth rate for dividends

• r signifies the discount rate or the required rate of return

To find the stock price today, we will utilize the dividend expected in Year 1. Consequently, to compute the stock price 14 years into the future, we calculate D15. D15 can be figured out as follows,

D15 = D1 * (1+g)^14

D15 = 0.50 * (1+0.09)^14

D15 = $1.67086351362 rounded to $1.67

Now applying the DDM formula for the price,

P14 = 1.67086351362 / (0.12 - 0.09)

P14 = $55.69545045394 rounded to $55.70

Answer:

Explanation:

The journal entry is presented beneath:

Cash A/c $18,000

    To Service revenue A/c $18,000

(Accountable for the receipt)

In this transaction, we debit the cash account because cash has been received and credit the service revenue since the service has been performed. Both entries are made for the amount of $18,000 to ensure accurate recording.

Answer:

Mary must submit official paperwork related to the merger or name change to the DSO, ensuring her records are updated.

Explanation:

Since the firm has merged and changed its name from XYZ Corporation to ABCXYZ Inc, Mary needs to draft a formal notification to her DSO regarding this change and the merger.

The DSO will then amend her records with the University of the Cumberlands.

Response:

There will be an increase in equilibrium quantity, but the impact on equilibrium price remains uncertain.

Note:

Due to the scientists' discovery, demand for oranges will rise, as will the price.

Additionally, the introduction of new fertilizers will boost the supply of oranges, leading to a price decrease.

Taking both of these factors into account indicates that there will be a rise in equilibrium quantity, while the effect on equilibrium price cannot be determined.