question 11/12

Suppose it is late December 2020 and an analyst expects Archer-Daniels-Midland Company to have annual sales of 365,550 million this year year The analyst also expects the company's sales to grow 3 next year tyear 1) and 32 the year after that year 2). The analyst expects the company to have a net profit margin of 3.5 each year, a dividend payout ratio of 40%, 550 million shares of common stock outstanding over the time horizon and sell for a pre ratio of 135 at the end of year 2 the required rate of return is tow, then what is the stock's intrinsic value today Iyear ? O a. 552.50 per share b. 549.56 per share Oc$53.32 per share d. 551.68 per share O. 550.21 per share QUESTION 12 A company sells 1,050 units during the first quarter of the year at a selling price of $20 per unit. In addition, the company has a beginning inventory of 600 units that were purchased at $10 per unit, and the following purchases and sales Date Units sold Units purchased Cost per unit Jan 10 300 $11 Jan 25 500 Feb 7 400 $12 Feb 14 250 Mar 5 300 Mar 27 650 $14 What is the company's gross profit if it uses a perpetual inventory system and the FIFO method? O a $11,600 b.$10,600 OC $9.900 d. $11,100 O e $9.400