Given the data below for the Zoom Corporation, its expected total return is
1. Beta = 0.8
2. Expected price appreciation = 7%
3. Market risk premium = 8%
4. Risk free rate = 4%
5. Next year's dividend = $1.00
6. Current market price = $50
A)
7.0%.
B)
9.0%.
C)
12.0%.
D)
15.0%.
B
You might also like to view...
Showing someone enjoying an exotic experience would be which type of executional framework?
A) testimonial B) dramatization C) slice-of-life D) fantasy
Southern Food Service operates six restaurants in the Atlanta area. The company pays rent of $20,000 per year for each shop. The managers of each shop are paid a salary of $4,200 per month and all other employees are paid on an hourly basis. Relative to the number of hours worked, total compensation cost for a particular shop is which kind of cost?
A. Variable cost B. Fixed cost C. Mixed cost D. None of these
LNG is a large multinational appliance manufacturer. The company gets raw materials from many vendors. In this case, LNG is characterized by ________.
A. very low threat of substitute products B. high bargaining power over its suppliers C. very low threat of new entrants in the market D. low bargaining power over its suppliers E. very high bargaining power over its customers
Companies today have to compete across multiple attributes for a firm’s core competencies, as a consequence of ______.
a. fewer customer expectations b. increasing globalization c. increasing government regulation d. greater employee expectations