Forecast profits for 2020 using linear trend. Years Profit 2011 12 2012 18 2013 … 2014 13 2015 12 2016 17 2020 ?
Q: Calculate the return on equity (after tax) ratio. (Round your answers to the nearest hundredth.)…
A: Return on Equity: It is a measure of the profitability of a company and it is estimated by dividing…
Q: The analysis of Return on Equity (ROE) is as follows: 2015: 3.58% 2016: 2.06% 2017: 3.79% 2018:…
A: Return on equity: It the percentage of net income towards the shareholder’s equity of the entity and…
Q: In your position as research assistant to a portfolio manager, you need to analyze the profitability…
A: Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…
Q: per year. If the required return on Computech is 17%, what is the value of the stock today? Do not…
A: Value of Stock: As per the dividend discount model, the price of the stock can be computed by…
Q: a. Calculate the price-earnings ratio in 2023 and 2024. b. In which year is the stock priced lower…
A: Price-Earnings Ratio: It is a financial ratio that is used in valuing the firm and measures the…
Q: What is National's dividend yield ratio for last year?
A: Dividend yield ratio = Dividend per share / Market price per share
Q: 13. Consider the following possible returns over the next year on an asset Return probability –£40…
A: Expected Return refers to an estimated value that an investor may receive in future time considering…
Q: If D1 = $1.50, g (which is constant) = 6.5%, and P0 = $56, what is the stock's expected capital…
A: Capital Gain yield is the is the percentage increase in the stock's price.
Q: The following year-end price and dividend data was found for ABC Co: Year Closing Price Dividend…
A: Return (%) = (Year end price - previous year price + dividend ) / previous year price
Q: Dividend Per Share
A: Dividend per share = Dividend declared/Number of outstanding common stock at the end of the year
Q: year indefinitely and Nike plowback ratio. By how m exceed the stock's return А. 2% В. 1% C. 1.5% D.…
A: in this we have to find out return on equity and find out the difference.
Q: Calculate the Trend Analysis from the following information of Kamanga Invest-Trust Bank Ltd.,…
A: Trend analysis: The trend analysis indicates a technique that presents changes in the amount of…
Q: Use the following information to answer the question. Probability Outcome Return Recession 20% -20%…
A: Expected return is sum of Probability * return in all outcomes.
Q: If D0= $2.25, g which is a constant 3.5% and P0 =$50, what is the stocks expected dividend yield for…
A: D0(current Divided)= 2.25 Growth rate (g)= 3.5% Current stock price (P0)= 50 Divided Yield = D1/P0…
Q: If a company's current stock price is $26.70 and it is likely to pay a $2.45 dividend next year.…
A: Calculation of Expected Return:The expected return is 23.37%.Excel Spreadsheet:
Q: Calculate the annual dividend growth rate (include excel formulas) Based on the annual dividend…
A: Computation of the annual dividend growth rate is shown as follows: Formula sheet is shown:
Q: Compute the basic earnings per share for 2020. (Round to the nearest penny.) Compute the diluted…
A: Earnings per share is the ratio analysis tool which computes the earning capacity of the company for…
Q: a. Calculate the arithmetic average return for the period 2018 to 2021 to Percentage Return).
A: The average return is the basic mathematical average of a series of returns over a certain time…
Q: #2 See the historical year-end price and dividend information for XYZ. Compute the dividend yield,…
A: Given,
Q: a) Calculate the NPV assuming 10% discount rate b) Determine in which year will be the payback c)…
A: Net Present Value: It represents the difference between the present worth of annual cash flows and…
Q: g ratios for 2020 and discuss your findings
A: Current ratio = Total current assets/Total current liabilities
Q: If the dividend paid in 2016 was $3.25. What is the expected dividend for 2017 if the dividend…
A: Dividend can be defined as the proportion of the net income that is distributed to the shareholders…
Q: Given the information below for HooYah! Corporation, compute the expected share price at the end of…
A: Price ratio analysis helps in ascertaining the price of the stock in relation to various other…
Q: Over the last 10 years, a firm has had the earnings per share shown in the following table: Year…
A: A. Calculate the annual dividend for 2017 as follows: Annual dividend = Earnings per share *…
Q: Compute trend analyses for each item for 2017-2019 Use 2016 as the base year, and round to the…
A: Trend analysis is a technique in which year wise increase or decrease in various items like Sales…
Q: Calculate the annual dividend growth rate (include excel formulas) Based on the annual dividend…
A: The formula for calculating the annual dividend growth rate is, wherein D2 - current year dividend;…
Q: Compute the expected return given these three economic states, their likelihoods, and the potential…
A: Probability Return 0.3 40% 0.4 15% 0.3 -15%
Q: if a dividend in 2018 was $1.11 per share and in 2019 dividend was $1.15 per share What is the…
A: Formula for Dividend growth rate = [Dividend in year 2/ dividend in year 1]-1
Q: Return on Common Stock
A: Return on common stock = Net income * 100/((Opening capital stock + Closing capital stock)/2)
Q: calculate the standard deviations of the following annual returns 2014 5% 2015 9% 2016 1% 2017…
A: Each investment have some possibility of fluctuations in return. These fluctuations arises a risk.…
Q: you have concluded that the following relationships are possible next year: economic status…
A: The expected return is calculated by multiplying the return and with the probability. Standard…
Q: (a) Stocks A and market have the following estimated returns: RA RM year 2018 -18% -24% 2019 44% 24%…
A: Expected rate of return refers to the amount of interest that is received in investment in future .…
Q: Alibaba Beta 2020 January to 2020 September : 0.64 2020 October to today: -0.25 Calculate the…
A: Expected return mean the profit and loss of the portfolio which is related to the investment. this…
Q: You have the following rates of return for a risky portfolio for several recent years: 2013 35.23%…
A: Geometric average return is the average growth of the investment over a period. Given: Investment =…
Q: Following is forecast for economic situation and Rachel’s portfolio returns next year, calculate the…
A: Expected return: It is a return expected by an investor from an investment according to the risk…
Q: Calculate the estimated price of the following stock. Required rate of return: 15%;…
A: Dividend: It is the amount that is paid to that shareholders as compensation for taking risk of…
Q: A firm has a net return on equity of 10% over the fiscal year 2019-2020. Over the same year its…
A: Opportunity cost is the cost of next best alternative. It is the value of opportunity forgone from…
Q: 1. What is the required rate of return for the common equity shareholders using CAPM? 2. Use the…
A: Here,
Q: 15. Consider the following possible returns over the next year on an asset. Return Probability –£40…
A: Each asset or investment have some risk factor, risk factor means assets are unable to provide…
Q: if a dividend in 2018 was $1.20 per share and in 2019 dividend was $1.70 per share What is the…
A: Given, dividend in 2018 = $1.20 dividend in 2019 = $1.70
Q: if a dividend in 2018 was $1.11 per share and in 2019 dividend was $1.15 per share What is the…
A: Share holders will normally expect dividends to increase year by year and not to remain constant in…
Years
Profit
2011
12
2012
18
2013
…
2014
13
2015
12
2016
17
2020
?
Step by step
Solved in 2 steps with 1 images
- Calculate Return on Equity (ROE) for 2021 using the Dupont EquationConsider the following information for the next year's return on IBM. probability return 10% 20% 0.8 0.2 Find the expected return. ⒸA. 2% B. 5% OC. 8% OD. 12% E. 11%What is the expected return for the following stock? State Probability Return Average 50 .25 Recession 35 .05 Depression .15 -35 Select one: Оа.0.12 O b.o.05 Ос.О.10 O d.o.09 Oe.o.11
- Historical Realized Rates of Return You are considering an investment in either individual stocks or a portíolio of stocks. The two stocks you are researching, Stock A and Stock B, have the folloving historical retums: Year 2015 -22.00% -4.00% 2016 34.00 17.00 2017 29.00 -15.00 2018 -2.00 46.00 2019 30.00 25.00 a. Calculate the average rate of return for each stock during the 5-year period. Do not round intermediate calculations. Round your ansvers to two decimal places. Stock A: Stock 8: b. Suppose you had held a portfolio consisting of 50% of Stock A and 50% of Stock B. What would have been the realized rate of return on the portfolio in each year? What would have been the average return on the portfolio during this period? Do not round intermediate calculations. Round your ansviers to bwo decimal places. Negative values, if any, should be indicated by a minus sign. Year Portfolio 2015 2016 2017 2018 2019 Average return c. Calculate the standard deviation of returns for each stock…Based on the provided data what is the standard deviation of the VOO ETF total returns for the 3-year period between 2021 to 2023? Year 2023 2022 2021 2020 2019 T-bill total return 4.29% -3.82% -0.60% 3.16% 3.59% 20% average return ≤ 25% 25% < average return ≤ 30% 30% < average return ≤ 35% 35% average return S&P 500 total VOO ETF total return return 26.29% 26.33% -18.11% -18.15% 28.71% 28.60% 18.40% 18.40% 31.49% 31.47%Question 3: (20 marks) Consider the following Table: YEAR 2018. 2019 2020 2021 2022 R(BOA) 28% 24% -6% 23% 20% R(WF) 26% 25% -9% 21% 26% R(M) Probability 0.35 0.15 0.20 0.15 0.15 32% 29% - 2% 31% 35% Calculate the following: 1. The Expected Returns for BOA, WF and the Market, respectively. 2. The Variances of the Returns for BOA, WF and the Market, respectively. 3. The Standard Deviations of the Returns for BOA, WF and the Market, respectively. 4. The Coefficients of Variation for BOA, WF and the Market, respectively. s. The Covariances for BOA and WF respectively. 6. The Betas for BOA and WF respectively. 7. The Correlation Coefficients for BOA and WF respectively. 8. Assume a Risk-Free Rate is 4%. Calculate the CAPM for BOA and WF stocks respectively. 9. What is the RISK PREMIUM for BOA and WF respectively? 10. Explain your answers carefully to support your findings.
- Following are four economic states, their likelihoods, and the potential returns: Economic State Probability Return Fast growth 0.23 76 % Slow growth 0.50 21 Recession 0.23 20% Depression 0.04 55% Compute the expected returnsh10 please helm me Yhankyou As of 2020, the largest expansion of the Fed’s balance peaked in what year?Consider the following information: State of Economy Probability of State of Economy Rate of Return if State Occurs Recession 0.11 -0.06 Normal 0.45 0.15 Boom 0.44 0.32 Calculate the expected return.