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Other Fields Homework Help Business Topic started by: boland on May 18, 2016



Title: Benny Simpson is considering an investment in Pontoon Industries Inc. He anticipates a dividend of $
Post by: boland on May 18, 2016
Benny Simpson is considering an investment in Pontoon Industries Inc. He anticipates a dividend of $0.50 next year and an increase in the stock price from the current price of $18.25 per share to $20 per share. If he plans to hold the stock for one year, should Mr Simpson buy the stock if he requires an annual return of 12% on similar-risk investments?
A) no, because his anticipated return of 9.59% is exceeded his required return of 12%
B) no, because his anticipated return of 2.74% is exceeded his required return of 12%
C) yes because his anticipated return of 12.33% exceeds his required return of 12%
D) There is not enough information to answer this question.


Title: Re: Benny Simpson is considering an investment in Pontoon Industries Inc. He anticipates a dividend
Post by: noxx53 on Jun 22, 2016
Content hidden


Title: Re: Benny Simpson is considering an investment in Pontoon Industries Inc. He anticipates a dividend of $
Post by: boland on Jul 3, 2016
^^ Perfection


Title: Re: Benny Simpson is considering an investment in Pontoon Industries Inc. He anticipates a dividend of $
Post by: noxx53 on Jul 4, 2016
You're welcome ;)