Lithium Lakes Industries preferred stock has a par value of $100 and pays a dividend of $6.00 per
share. It presently sells for $87 per share. What do investors require as a rate of return on this stock?
Round off to the nearest .10%.
A) 6.9% B) 14.5% C) 6.0% D) 9.3%
A
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A business with a competitive price and a large value advantage is most likely to ________
A) lower its price to create a comparable value on the basis of positioning B) choose not to compete in this segment of the market C) improve performance on the basis of customer price-performance preferences to create customer value D) charge more for its product and still offer a good value E) lower its price, as its price is high relative to the value it offers
In a business combination, goodwill is defined as the excess of cost over the
a. net book value of assets acquired. b. fair value of assets acquired. c. book value of assets acquired less the liabilities assumed. d. fair value of assets acquired less the liabilities assumed.
Absorption costing differs from variable costing in all of the following except
a. treatment of fixed manufacturing overhead. b. treatment of variable production costs. c. acceptability for external reporting. d. arrangement of the income statement.
The process of transferring amounts from the book of original entry into the ledger is referred to as:
A) journalizing. B) posting. C) analyzing. D) classifying.