Question
4. Digging Deep Company's common stock is currently selling for $120.13 per share. Next year, the company dividend is expected to be $9.38 per share.
4. Digging Deep Company's common stock is currently selling for $120.13 per share. Next year, the company dividend is expected to be $9.38 per share. The projected growth at a rate of dividends for this stock is 5.76 percent per year. What rate of return does the investor expect to receive on this stock if he or she purchases the stock today?
Round the answer to two decimal places in percentage form.(Write the percentage sign in the "units" box).
5. La Cucaracha Pest Control, Inc. is reviewing its financial condition. The firm's operating leverage is 2.05. The firms financial leverage was of 2.17. What is the firms degree of combined (total) leverage of La Cucaracha Pest Control, Inc. ?
6. Appliance for Less is a local appliance store. It costs this store $18.90 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 374 units. Each order costs $71. The company is using Economic Order Quantity model in placing the orders.
How many orders should be made during the year in accordance with the Economic Order Quantity model?
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