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Jarrett Corp. At the end of 2010 Jarrett Corp. developed the following forecasts of net income: Forecasted YearNet Income 2011\$20,856 2012$22,733 2013$24,552 2014\$27,252 2015$29,978 Management believes that after 2015 Jarrett will grow at a rate of 7% each year. Total common shareholders' equity was $112,768 on December 31, 2010. Jarrett has not established a dividend and does not plan to paying dividends during 2011 to 2015 . Its cost of equity capital is 12%. Compute the value of Jarrett Corp. on January 1, 2011, using the residual income valuation model. Use the half-year adjustment. Select one A. $112,768 B. $185,329 C. $195,540 D. $133,624 Financial ratio, percentage, and trend comparisons can be distorted by all of the following except Select one A. aggressive revenue recognition practices. B. the timing of asset purchases. C. accounting for similar economic fundamentals in similar fashion. D. the presence of nonrecurring items among the firms being analyzed. Question 30 Many times a financial analyst may decide to make adjustments to the financial statements in order to make the statements more useful. Which of the following would not require an adjustment to the financial statement? Select one A. A company signs a new contract with a customer. B. A delivery company incurs a loss from disposition of used delivery trucks. C. A company changes the useful life of its equipment from 5 years to 8 years. D. A company incurs a charge related restructuring its operations