Cute Camel Woodcraft Company just reported earnings after tax (also called net income) of $8,000,000, and a current stock price of $25.75 per share. The company is forecasting an increase of 25% for its after-tax income next year, but it also expects it will have to issue 1,500,000 new shares of stock (raising its shares outstanding from 5,500,000 to 7,000,000) If Cute Camel's forecast turns out to be correct and its price-to-earnings (P/E) ratio does not change, what does the company's management expect its stock price to be one year from now? (Round any P/E ratio calculation to four decimal places).
A. $25.22 per share
B. $25.75 per share
C. $18.92 per share
D. $31.53 per share
One year later, Cute Camel's shares are trading at $49.60 per share, and the company reports the value of its total common equity as $35,308,000. Given this information, Cute Camel's market-to-book (M/B) ratio is ___________
Can a company's shares exhibit a negative P/E ratio?
A. No
B. Yes
Which of the following statements is true about market value ratios?
A. Companies with high research and development (R&D) expenses tend to have low P/E ratios
B. Companies with high research and development (R&D) expenses tend to have high P/E ratios.
Answers
The stock price one year from now will be A. $25.22 per share .
The market to book value after one year is 9.833.
A company's shares can exhibit a negative P/E ratio. This is true.
The true statement is that companies with high research and development (R&D) expenses tend to have high P/E ratios.
How to calculate the valueCurrent year price earning ratio = 25.75*5500000/8000000
17.7
current price earning = 17.70
next year earning = 8000000*(1+25%)
10000000
If PE ratio remains constant next year then share price next year is
10000000*17.70/7000000 = 25.22 per share
Market to book value after one year = (7000000*49.60)/35308000 = 9.833.
It should be noted that because of negative earing of the company negative PE ratio is possible. Hence PE ratio negative is possible
Lastly, company who spend high research and development expenses to have high P/E ratios
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Related Questions
Critical Thinking
7. Classify Identify the factor of pro-
duction represented by each of the
following: (a) fishing waters, (b) an
office building, (c) clerks in a store,
(d) a tractor, (e) a student in a cook-
ing school. Explain.
Quic
10. Loo
Wo
list
ar
n
8. Infer If companies can become
more productive by increasing their
physical capital, why would a com-
pany not buy up-to-date computers
for all employees each year?
9. Apply Think of a good or service
that you consumed today. List at
least five factors of production used
to produce that good or service.
Include at least one example each of
land, labor, and capital.
Answers
7. The production factor are, (a) fishing waters Land, (b) an office building Capital, (c) clerks in a store Labor, (d) a tractor Capital, (e) a student in a cooking school Entrepreneurship.
What is factor of production?There are four factors of production namely, land, labor, capital and entrepreneurship.
8. Infer If companies can become more productive by increasing their
physical capital, why would a company not buy up-to-date computers
for all employees each year?
Companies can become more productive if they keep their assets up to date, but the assets have a specific life and can be used up to it. The assets must be utilized for its specific life to minimize the expenses and maximize the profit.
9. Apply Think of a good or service that you consumed today. List at
least five factors of production used to produce that good or service.
Include at least one example each of land, labor, and capital.
I consumed food today this included more than five factors of production, the food was cooked by a chef this is labor, the food was cooked in a kitchen that was the land, the food was served in a restaurant that is the entrepreneurship and the food was prepared by mixing many ingredients for example, rice, meat and spices this make the capital.
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Answer these questions picture above.
Answers
1 increasing audience
2 payment methods and or growing page
3 yes help others and myself
4 insta due to its growing capacity
Using the categories of liquidity, profitability and operations management describe which ratios would be used and why to determine whether or not a loans officer at the bank would loan a business money?
Answers
The ratio that is mostly used to determine whether or not a loans officer at the bank would loan a business money is known as the debt-to-equity ratio.
What is the debt-to-equity ratio?This refers to the ratio that allows to measure of the relative contribution of the creditors and shareholders or owners in the capital employed in business.
The debt-to-equity ratio provides an insight into a company's use of debt. When the company have a high D/E ratio, it is considered a higher risk to lenders and investors because it suggests that the company is financing a significant amount of its potential growth through borrowing.
Therefore, the ratio that is mostly used to determine whether or not a loans officer at the bank would loan a business money is known as the debt-to-equity ratio.
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SHORT-ANSWER QUESTION
According to Tristano, what's the long-term advantage for making socially responsible
business decisions that increase the cost of doing business regardless of whether
consumers are willing to pay a higher price?
Answers
An advantage for making socially responsible business decisions is that it improves public image.
Corporate social responsibility is the concept whereby organizations integrate environmental and social concerns into their operations. An example of corporate social responsibility is an organization that gives scholarships to students.Corporate social responsibility helps in the improvement of the public image of the company. It also makes an organization more sustainable. Also, it can help in the attraction and the retention of employees.In conclusion, corporate social responsibility also gives an organization a competitive advantage over its competitors and enhances its reputation.
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What are good ways to find a buyer's agent?
Answers
Table 1 shows the financial position of Bank Uno once $ 3375.00 has been deposited. Assume that the required reserve ratio is 5.00 %, that banks do not keep excess reserves, and that all the money loaned out from Bank Uno is deposited into Bank Duo (whose loans go to other banks not shown here). Once the lending and depositing process is complete, what will the accounts look like in Tables 2 and 3? Specify all answers to two decimal places. Table 1. Bank Uno's Initial T-Account Assets Liabilities Reserves: $3375.00 Deposits: $3375.00 Table 2. Bank Uno's T-Account After Loans Assets Liabilities Reserves: ? Deposits: ? Loans: ? Table 3. Bank Duo's T-Account After Deposits and Loans Assets Liabilities Reserves: ? Deposits: ? Loans: ? What are Bank Uno's deposits in Table 2? $ What are Bank Uno's reserves in Table 2? $ What are Bank Duo's loans in Table 3? $ What are Bank Uno's loans in Table 2? $
Answers
Answer:
(a) Bank Uno's deposits in Table 2 = $3,375.00
(b) Bank Uno's reserves in Table 2 = $168.75
(c) Bank Duo's loans in Table 3 = $3,045.94
(d) Bank Uno's loans in Table 2 = $3,206.25
Explanation:
Note: The data in this question are merged together. They are therefore sorted before answering the question. See the attached pdf file for the complete question with the sorted data.
The explanation to the answers is now given as follows:
Also note: See the attached Microsoft Word file for how the accounts will look like in Tables 2 and 3 once the lending and depositing process is complete.
Required reserve ratio refers to the percentage of reserves that the central bank of a country requires banks in the country to keep on hand in case depositors want to withdraw their funds.
The loan given out by a bank is therefore obtained by deducting the required reserve from the total reserve.
Based on the explanation above, we have:
For Table 2, we have:
Deposits in Table 2 = Deposits in Table 1 = $3,375.00
Reserve in Table 2 = Deposits in Table 1 * Required reserve ratio = $3,375.00 * 5% = $168.75
Loans in Table 2 = Deposits in Table 1 - Reserve in Table 2 = $3,375.00 - $168.75 = $3,206.25
For Table 3, we have:
Deposits in Table 3 = Loans in Table 2 = $3,206.25
Reserve in Table 3 = Deposits in Table 3 * Required reserve ratio = $3,206.25 * 5% = $160.31
Loans in Table 3 = Deposits in Table 3 - Reserve in Table 3 = $3,206.25 - $160.31 = $3,045.94
Based on the above calculations, we can now answer the following:
(a) What are Bank Uno's deposits in Table 2? $
Bank Uno's deposits in Table 2 = $3,375.00
(b) What are Bank Uno's reserves in Table 2? $
Bank Uno's reserves in Table 2 = $168.75
(c) What are Bank Duo's loans in Table 3? $
Bank Duo's loans in Table 3 = $3,045.94
(d) What are Bank Uno's loans in Table 2? $
Bank Uno's loans in Table 2 = $3,206.25
6 of 10
How could defaulting on a loan or having a high debt-to-income ratio
impact your future opportunities?
It can improve your credit score and make it easy to borrow money for big
purchases like a house or car.
It can block affordable options in your searching algorithms.
There is no impact on future opportunities.
It can lower your credit score and make it difficult to borrow money for big
purchases like a house or car.
Answers
Like defaulting on a loan or having a high debt-to-income ratio
impact your future opportunities, in the sense that you can lower your credit score and make it difficult to borrow money for large purchases like a house or car.
How to improve your credit score?It is essential that the individual has a financial plan so that he can meet his responsibilities on a loan in the amount and date agreed by contract. Timely payments are essential to raise your credit score, there are some features that help with this purpose, such as pre-scheduled payments to be automatically debited.
Therefore, personal financial planning is an essential tool for citizens to make financial decisions in line with their reality, a personal budget will help to better understand their income and expenses, and consequently, better manage their money.
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Under corporate law, corporations are given the same rights as
A. the Federal Reserve
B. intellectual property
C. individuals
D. foreign countries
Answers
Answer:
C. individuals
Explanation:
The law treats corporates organizations as legal citizens. It gives them commercial right to own property, enter into contracts, and incur debts. Corporates have tax obligations, just like individuals. They can sue and be sued.
The law considers a corporate as a separate entity from its owners. It distinguishes the assets and liabilities of the institutions as different from those of its founders. A corporate has an infinite life. The death of its shareholders does not automatically mean its termination.
Answer:
C. Individuals is the correct option
Explanation:
A preparation outline is used to help organize the speaker's thoughts, ideas, and information. What is the purpose of a presentation outline? Question 14 options:
a. A presentation outline is used to provide copies of the speech to each member of the audience.
b. A presentation outline is used to present only the key points of a speech.
c. A presentation outline helps the speaker remember what to say during his or her speech.
d. A presentation outline is used to explore different patterns of organization.
Answers
The purpose of a presentation outline is to help the speaker organize and structure their speech in a clear and logical manner.The outline can also be used to help the speaker remember what they want to say during the presentation, allowing them to focus on delivering the content effectively without worrying about forgetting important details. The correct option is c.
The outline provides a framework for the content that will be presented, ensuring that all important points are covered and that the content is loaded with relevant information. Additionally, a presentation outline can be helpful for the audience as well, providing them with a clear roadmap of what to expect during the presentation and allowing them to follow along with ease.
While it may not be necessary to provide copies of the outline to each member of the audience, having a clear and organized presentation can make a big difference in how well the content is received and understood. Overall, a well-prepared presentation outline is an important tool for any speaker looking to deliver a successful and engaging presentation. The correct option is c.
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One way that investors can assess the direction of the market over time is by
Answers
Answer:
i do klnot know the answer
17. Why is it important to identify the stakeholders of a business? In your own words
Answers
NASAA's Model Rule on Unethical Business Practices of Investment Advisers, Investment Adviser Representatives, and Federal Covered Advisers deems all of the following as unethical practices for investment advisers EXCEPT A) inability or unwillingness to disclose sources of additional fees received from those other than the customer in connection with providing advisory services to that client B) performing the initial trades in a new discretionary account with oral authorization C) charging advisory fees that are significantly higher than those charged by other advisers for similar services in that state D) recommending a security based on a rumor
Answers
what is the real name of rocky
Answers
what are the similarity between the multiplier and the accelerator
Answers
Explanation:
Multiplier shows the effect of a change in investment on income and employment whereas accelerator shows the effects of a change in consumption on investment.
But in other words, in the case of multiplier, consumption is dependent upon investment, but in the case of accelerator investment is dependent upon consumption
In addition to earning a bachelor's degree in education, what else do teacher candidates need to do in order to be eligible for a teaching certificate?
* * * is my answer
A. pass a series of state tests
B. write an essay on why they want to teach
C. complete additional courses in a second area of study
D. complete a survey by the State Board of Education * * *
Answers
Answer:
pass a series of state tests
Explanation:
good luck baes <33
In addition to earning a bachelor's degree in education, the teacher candidates need to pass many state tests in order to be eligible for a teaching certificate. Therefore, option A is the correct option.
What is a teaching certificate?A teaching certificate is a certificate which is provided and rewarded by the government or governmental organization to an individual. These certificates can be obtained by many processes such as giving and passing certain examinations which are conducted by the government and completing a certain teaching degree.
The teacher candidates must pass numerous state exams in addition to receiving a bachelor's degree in education in order to be qualified for a teaching certificate. As a result, choice A is the best one.
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Overall there are 3 main factors that are used to compute the premiums charged for health insurance. They are: A) Morbidity, interest, expenses B) Policy reserves, interest, expenses C) Mortality, interest, expenses
D) Morbidity, reserves, expenses
Answers
Option C is the correct answer. The three main factors used to calculate health insurance premiums are mortality, interest, and expenses.
What about health insurance?One sort of insurance that covers all or a portion of the risk of a person needing medical care is health insurance, sometimes referred to as medical insurance or medical aid in South Africa.Similar to other types of insurance, risk is shared among numerous parties. An insurer can create a standard financial framework, like a monthly premium or payroll tax, to raise the funds necessary to pay for the medical benefits outlined in the insurance agreement by evaluating the overall risk of health risks and health system expenses over the risk pool. The benefit is managed by a central body, which could be a non-profit organisation, a government agency or a private company.To know more about health insurance, visit:
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Shirine has been debating between two career pathways in finance. She creates a Venn diagram to compare the two careers. In a Venn diagram, the separate circles contain characteristics unique to each item being compared and the intersection contains characteristics that are common to both items being compared. This is the Venn diagram that Shirine creates:
Which accurately labels the titles in Shirine's diagram?
A) Title 1 should be Investment Career Pathway, and Title 2 should be Banking Career Pathway
B) Title 1 should be Banking Career Pathway, and Title 2 should be Investment Career Pathway
C) Title 1 should be Banking Career Pathway, and Title 2 should be Financial Career Pathway
D) Title 1 should be Financial Management Career Pathway, and Title 2 should be Investment Career Pathway
Answers
Answer:
Explanation:
The answer is C.Title 1 should be Banking Career Pathway, and Title 2 should be financial management Career Pathway.
Answer:
C
Explanation:
Just did the test like 20 minutes ago
3) Perform a SWOT analysis for the Fast Creek Lightning hockey team as a business enterprise,
Answers
A SWOT analysis is a strategic planning tool that helps organizations identify their strengths, weaknesses, opportunities, and threats.
What is SWOT analysis ?Here is an example SWOT evaluation for the hockey team Fast Creek Lightning as a business entity:
Strengths:
Strong brand recognition: Over the years, The Fast Creek Lightning have developed a strong brand and reputation that may draw supporters, sponsors, and other stakeholders.Fan base that is devoted and devoted to the club can bring in a consistent stream of income through ticket and merchandise sales.
Experienced management: The team's management and coaching staff are skilled and experienced, which can help to assure the team's success both on and off the ice.Weaknesses:
Lack of funds: The team might not have the money to invest in the players, facilities, and other assets required to stay competitive.reliance on a single market team is heavily dependent on the local market, which can make it vulnerable to economic downturns or other factors that affect the local economy.
Lack of diversification: The team relies heavily on its hockey operations, which can make it vulnerable to changes in the sports industry or other factors that affect the popularity of hockey.To know more about SWOT analysis , check out :
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The frequency distribution of order lead time of the retailer from Exercise repeated below
a. How many orders were filled in less than 10 days? In less than 15 days?
b. Convert the frequency distribution to a cumulative frequency distribution.
d. Develop a cumulative frequency polygon.
d. About 60% of the orders were filled in less than how many days
Answers
6 + 7 = 13 represents the number of orders filled in fewer than 10 days. 6 + 7 + 12 = 25 are the orders that were completed in fewer than 15 days. Each frequency from a frequency distribution table is added to the total of its predecessors to determine the cumulative frequency.
Since all frequencies will have previously been added to the prior total, the final result will always be equal to the sum of all observations. The cumulative frequency is divided by the total number of observations (25 in this case) in the Cumulative percentage column. Next, the outcome is multiplied by 100. The cumulative percentage for each interval is determined by this calculation.
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The difference between light marking machine and UV marking machine
Answers
What is the Internal Revenue Code?
A.) a collection of tax laws, their interpretations, and federal tax rulings
B.) a list of tax brackets and the percentages each person must pay
C.) a book used solely by tax accountants to help people complete their filings
D.) a passcode that citizens must have to file their taxes online
Answers
Internal Revenue Code is collection of tax laws, their interpretations, and federal tax rulings.
Option A is the correct answer
What is internal revenue code?The Internal Revenue Code are set of laws and rules created to guide tax related matters
It was created by revenue service for the public on tax payment.
Therefore, Internal Revenue Code is the collection of tax laws, their interpretations, and federal tax rulings
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All of the following are examples of primary market research EXCEPT
A.
Direct-mail surveys
B.
Free product samples
C. Focus groups
D.
Promotional e-mail campaigns
Answers
The Constitution gives the federal government the power to regulate _____?
Answers
Answer:
A clause of the U.S. Constitution that grants Congress the power "to regulate commerce with foreign nations, and among the several states, and with Indian tribes." This clause also gives the federal government the authority to regulate interstate commerce.
Explanation:
Determine the amount of tax liability in each of the following instances:
a. A married couple filing jointly with taxable income of $32,991.
b. A married couple filing jointly with taxable income of $192,257.
c. A married couple filing separately, one spouse with taxable income of $43,885 and the other with $56,218.
d. A single person with taxable income of $79,436. A single person with taxable income of $297,784.
e. A head of household with taxable income of $96,592. A qualifying widow with taxable income of $14,019.
f. A married couple filing jointly with taxable income of $11,216.
Answers
The determination of the tax liability in each of the following instances is as follows:
Taxable Filing Tax Tax
Income Status Rate Liability
a. $32,991 Joint 12% $3,958.92
b. $192,257 Joint 24% $46,141.68
c. $43,884 Separate 12% $5,266.08
c. $56,218 Separate 12% $6,746.16
d. $79,436 Single 22% $17,475.92
d. $297,784 Single 35% $104,224.40
e. $96,592 Household 24% $23,182.08
e. $14,019 Widow 12% $1,682.28
f. $11,216 Joint 10% $1,121.60
What is a tax liability?A tax liability is the payment that an individual or couple must pay within the tax year to the government. Generally, tax liabilities arise when the individual earns income or sells an investment. Examples of tax liabilities are income taxes or capital gains taxes.
Thus, the tax liability of each instance depends on the tax rate and the filing status of the individual or couple.
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While airbags in cars have saved lives and lowered fatality rates, they have caused MORE accidents. Why has this happened? What do we call this idea in economics? Suppose the government was hoping to reduce the number of accidents (and was not concerned about fatalities), what should they require automakers to do?
Answers
The idea that airbags in cars have caused more accidents is known as the moral hazard problem in economics. This occurs when people take on more risk because they feel protected by insurance or safety features. In the case of airbags, drivers may feel invincible and drive more recklessly because they believe the airbag will protect them in case of an accident.
If the government was hoping to reduce the number of accidents and was not concerned about fatalities, they could require automakers to install technology that limits the speed of the vehicle or increases the distance between cars. They could also require automakers to install sensors that detect when a car is too close to another car and issue a warning to the driver. These measures would encourage safer driving practices and reduce the likelihood of accidents.
Which theme can be found in both "If" and The Jungle Book by Rudyard Kipling?
Learning to share is part of growing up.
Learning to read and write is part of growing up.
Learning to hunt for food is part of growing up.
Learning to stand alone is part of growing u
Answers
Answer:
The correct answer is D. learning to stand alone is part of growing up.
Explanation:
Learning to stand alone is part of a growing theme that can be found in both "If" and The Jungle Book by Rudyard Kipling.
What are the themes?A theme is a central topic, subject, or message within a narrative in current literary studies. Themes are classified into two types: thematic concepts and thematic statements. Thematic concepts are what readers “believe the work is about,” while thematic statements are “what the piece says about the subject.”
The poem "If" is about maturing. Rudyard Kipling enumerates a number of qualities that make a strong man. In the fictional story The Jungle Book, a boy grows up in the jungle. The hardship of growing up and leaving childhood is demonstrated in both writings.
Therefore, The theme can be found in both, Learning to stand alone is part of growing.
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Taisha operates equipment to transfer oil from one container to another. Her job title is best described as
Spencer manages the flow of electricity through substations and distribution lines. His job title is best described as
Mariko maintains cables and supporting structures for transmitting electricity. Her job title is best described as
Fred operates equipment to transfer hydrogen through pipelines. His job title is best described as
Answers
Answer:
she would be the pump opperater
Explanation:
Answer:pump operator
Power dispatcher
Electrical power-line repairer
Gas pumping station operator
Explanation:
Identify the features of stocks and bonds.
coupon rate
face value
closing price
maturity date
Stock? Bond ?
Plato/edmentum unit 3 finance
Answers
Answer:
Stocks:
closing price maturity rateBonds :
Coupon rate Face valueExplanation:
A stock entitles the holder to dividend payments and gives ownership right of a company to the holder.
The closing price of a stock is the last price that the stock sells for at the end of a trading session
A bond is a debt instrument.
the standard time required per unit of a product is 20 minutes. in a day of 8 working hours a worker gives an output of 30 units. if he gets a time rate of ` 20 per hour his total earning under halsey bonus scheme is
Answers
The bonus earned by the worker would be 30% of 2 hours, which is equal to 0.3 * 2 * $20 = $12.
The Halsey bonus scheme is a productivity-based incentive system that provides workers with a bonus based on the time saved in completing their assigned tasks. Under the Halsey bonus scheme, the worker receives a percentage of the time saved as a bonus.
In this scenario, the standard time required per unit of a product is 20 minutes, which is equivalent to 1/3 of an hour (20/60). The worker is able to produce 30 units in a day of 8 working hours, which means the total time taken for production is 30 units * 1/3 hour per unit = 10 hours.
Since the worker works for 8 hours in a day, the time saved is 10 hours - 8 hours = 2 hours. According to the Halsey bonus scheme, the worker is entitled to a percentage of the time saved as a bonus. The Halsey system typically allocates 30% of the time saved as a bonus.
Therefore, the bonus earned by the worker would be 30% of 2 hours, which is equal to 0.3 * 2 * $20 = $12.
In summary, under the Halsey bonus scheme, the worker's total earning would include the regular wages for 8 hours of work, which is 8 * $20 = $160, along with the bonus earned, which is $12. Hence, the worker's total earning under the Halsey bonus scheme would be $160 + $12 = $172.
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Jeff's Meat Market recorded the following events involving a recent purchase of
merchandise:
Received goods for $40,000, terms 2/10, n/30.
Returned $800 of the shipment for credit.
Paid $300 freight on the shipment.
Paid the invoice within the discount period.
As a result of these events, the company's inventory
Answers
As a result of these events, the company's inventory increased by $38,612 by all these factors.
How does inventory work?Inventory is the term used to describe all the products, materials, goods, and merchandise that a company has on hand and plans to sell to customers for a profit. The only item that will be regarded as inventory is the newspaper if the vendor delivers newspapers to customers using a vehicle. The car will be handled like an asset.
What fundamentals surround inventory?The items that your company has are the most fundamental definition of inventory. These may be material (i.e., goods and raw materials) or intangible (e.g., software). Most of the time, when we talk about inventory, we simply mean all the items that the company has kept on hand—to sell.
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