Questions
The earnings, dividends, and stock price of Shelby Inc. are expected to grow at 7% per...

The earnings, dividends, and stock price of Shelby Inc. are expected to grow at 7% per year in the future. Shelby's common stock sells for $23.50 per share, its last dividend was $2.00, and the company will pay a dividend of $2.14 at the end of the current year. Using the discounted cash flow approach, what is its cost of equity? Round your answer to two decimal places. % If the firm's beta is 0.7, the risk-free rate is 3%, and the expected return on the market is 12%, then what would be the firm's cost of equity based on the CAPM approach? Round your answer to two decimal places. % If the firm's bonds earn a return of 9%, then what would be your estimate of rs using the own-bond-yield-plus-judgmental-risk-premium approach? (Hint: Use the mid-point of the risk premium range.) Round your answer to two decimal places. % On the basis of the results of parts a–c, what would be your estimate of Shelby's cost of equity? Assume Shelby values each approach equally. Round your answer to two decimal places.

In: Finance

The earnings, dividends, and stock price of Shelby Inc. are expected to grow at 4% per...

The earnings, dividends, and stock price of Shelby Inc. are expected to grow at 4% per year in the future. Shelby's common stock sells for $23 per share, its last dividend was $2.50, and the company will pay a dividend of $2.60 at the end of the current year.

  1. Using the discounted cash flow approach, what is its cost of equity? Round your answer to two decimal places.

      %

  2. If the firm's beta is 1.8, the risk-free rate is 7%, and the expected return on the market is 11%, then what would be the firm's cost of equity based on the CAPM approach? Round your answer to two decimal places.

      %

  3. If the firm's bonds earn a return of 11%, then what would be your estimate of rs using the own-bond-yield-plus-judgmental-risk-premium approach? (Hint: Use the mid-point of the risk premium range.) Round your answer to two decimal places.

      %

  4. On the basis of the results of parts a–c, what would be your estimate of Shelby's cost of equity? Assume Shelby values each approach equally. Round your answer to two decimal places.

      %

In: Finance

The assignment: C++ program or Java You need to use the following programming constructs/data structures on...

The assignment: C++ program or Java

You need to use the following programming constructs/data structures on this assignment.

1. A structure named student which contains:  

a. int ID; student id;

b. last name; // as either array of char or a string

c. double GPA;   

2. An input file containing the information of at least 10 students.

3. An array of struct: read the student information from the input file into the array.

4. A stack: you can use the standard library template for the stack or you can write your own code for the different stack operations. The stack stores elements of type student.

5. Output file containing a duplicate of all output sent to the console.

What to do:

1. Read all students rows from the input file into an array.

2. Store the information about seven different students in the stack: This is intended to initialize the stack.

3. Generate a random number between 1 and 20.

4. If the randomly generated number is even, read one row from the array and store it (push it) into the stack.

5. If the randomly generated number is odd then check If the number is divisible by 3, if so ask the user if they want to quit.

6. If the user selects to continue or the odd number is not divisible by 3 then pop one element from the stack and send it to the output file.,

7. If the stack is not empty and you quit: it will display the number of the students left in the stack, and display the information of each student left in the stack.

8. If you choose to quit, and the stack is empty when a pop is needed, or the array is empty when a push is required then do the following:

a. Display on the console and send to the output file: “The reason for quitting”, how many elements are left on the stack when quitting, and the content of each student record found in the stack when quitting.

In: Computer Science

Registry Java Programming 2) Interface Comparator: The method for comparing two objects is written outside of...

Registry Java Programming

2) Interface Comparator:

The method for comparing two objects is written outside of the class of the objects to be sorted. Several methods can be written for comparing the objects according to different criteria. Specifically, write three classes, DescriptionComparator, FirstOccComparator,
and LastOccComparator that implement the interface java.util.Comparator.

  • DescriptionComparator implements the interface Comparator. The
    method compare compares the description of two objects. It returns a negative value if the description of the first object comes before the description of the second object in the lexicographic order, 0 if both descriptions are logically the same, and a positive number if the description of the first object comes after the description of the second object in the lexicographic order;

  • FirstOccComparator implements the interface Comparator. It compares the start time of two events. It returns a negative value if the start time of the first event is before that of the second event, 0 if both start times are logically the same, and a positive number if the start time of the first event is after the start time of the second event;

LastOccComparator implements the interface Comparator. It compares the dates of the last recurrences of two events. It returns a negative value if the date of the last recurrence of the first event is before that of the last recurrence of the second event, 0 if the date of the last recurrence of both events is logically the same, and a positive number if the date the last recurrence of the first event is after the date of the last recurrence of the second event.

In: Computer Science

Bunnings Ltd is considering to invest in one of the two following projects to buy a new equipment.

Bunnings Ltd is considering to invest in one of the two following projects to buy a new equipment. Each equipment will last 5 years and have no salvage value at the end. The company’s required rate of return for all investment projects is 8%. The cash flows of the projects are provided below.



Equipment 1

Equipment 2

Cost

$186,000

$195,000

Future Cash Flows

Year 1

Year 2

Year 3

Year 4

Year 5


86 000

93 000

83 000

75 000

55 000


97 000

84 000

86 000

75 000

63 000


Required:


  1. Identify which option of equipment should the company accept based on Profitability Index?

  2. Identify which option of equipment should the company accept based on discounted pay back method if the payback criterion is maximum 2 years?

In: Finance

Bunnings Ltd is considering to invest in one of the two following projects to buy a...

Bunnings Ltd is considering to invest in one of the two following projects to buy a new equipment. Each equipment will last 5 years and have no salvage value at the end. The company’s required rate of return for all investment projects is 8%. The cash flows of the projects are provided below.

Equipment 1

Equipment 2

Cost

$186,000

$195,000

Future Cash Flows Year 1
Year 2
Year 3

Year 4 Year 5

86 000 93 000 83 000 75 000 55 000

97 000 84 000 86 000 75 000 63 000

Required:

  1. a) Identify which option of equipment should the company accept based on Profitability Index?

  2. b) Identify which option of equipment should the company accept based on discounted pay back method if the payback criterion is maximum 2 years?

In: Finance

In this question, we want to create a confidence interval for mu(m) - mu (u), the...

In this question, we want to create a confidence interval for mu(m) - mu (u), the difference in average Income between the genders: Male and Female. You may use the original data for this, or notice that I’ve included two rows in addition to the Exam1 data which has the incomes broken down by gender.

a) Check the conditions to construct a confidence interval for the difference in these two means.

b) Include the output from Minitab or Statcrunch showing the confidence interval of interest.

c) Interpret the interval in words relating to the original question.

Age (Years) Education (Years) Gender Student Married Ethnicity Income (Dollars/Year) Income of Females Income of Males
71 14 Female No Yes Asian 29705 29705 18145
56 15 Male No Yes African American 18145 55412 49502
37 16 Female Yes Yes Caucasian 55412 20974 140672
44 16 Female No Yes Caucasian 20974 30550 13647
81 9 Female No No African American 30550 75406 103893
55 14 Male No Yes Caucasian 49502 12000 10635
46 9 Male No Yes African American 140672 30007 15741
41 14 Female No Yes Asian 75406 152298 44205
47 14 Male No Yes Caucasian 13647 87625 42529
28 14 Female No Yes Caucasian 12000 30682 17316
69 9 Female No Yes Caucasian 30007 31335 32856
41 12 Female No Yes Asian 152298 19782 60449
84 17 Male No No Asian 103893 130209 149316
69 16 Male No Yes Asian 10635 27470 11603
46 10 Female No No African American 87625 28575 83869
39 14 Male No Yes Asian 15741 34509 24050
77 7 Female No No Caucasian 30682 58351 107841
38 7 Female No No Caucasian 31335 15079 33017
46 16 Female Yes No Caucasian 19782 30413 29567
39 19 Female No Yes Caucasian 130209 80616 26370
32 12 Male No Yes Caucasian 44205 57337 24824
32 11 Female No Yes Asian 27470 94193 30012
37 11 Male No Yes Asian 42529 69165 36364
65 13 Male No No African American 17316 27369 15717
60 11 Female No No African American 28575 58929 30111
80 18 Female No Yes African American 34509 59879 35691
68 13 Male No No Caucasian 32856 44473 91362
69 8 Male No Yes Caucasian 60449 37878 28144
80 16 Male No No African American 149316 16103 52179
85 16 Female No Yes Caucasian 58351 53401 25124
71 11 Male No Yes Caucasian 11603 10588 68713
28 15 Female No Yes Asian 15079 31811 62328
83 11 Male No No African American 83869 26067 69656
32 18 Male No Yes Caucasian 24050 19537 44522
87 7 Male No No African American 107841 36496 71682
28 16 Male No Yes African American 33017 24230 16304
25 15 Female Yes No Asian 30413 23350 23793
25 15 Male No No Caucasian 29567 26532 23672
57 7 Female No Yes Asian 80616 29403 27229
78 11 Male No Yes Asian 26370 148924 60579
45 7 Female No No Caucasian 57337 22939 13561
33 9 Male Yes No Caucasian 24824 22561 53480
33 17 Male No Yes Caucasian 30012 106025 55882
44 16 Female No Yes Caucasian 94193 65896 28508
34 11 Female No No African American 69165 80861 12414
40 9 Female No Yes Caucasian 27369 29638 23949
66 9 Female No Yes African American 58929 15846 23857
78 15 Female No No Caucasian 59879 15333 14887
81 16 Female No No African American 44473 32164 16479
50 19 Male No No Caucasian 36364 20936 33437
38 16 Male Yes Yes Caucasian 15717 55187 125480
80 13 Female No No Caucasian 37878 59855 24889
81 18 Male No Yes Caucasian 30111 21455 36362
45 10 Female No Yes Caucasian 16103 14084 67937
35 15 Male No No African American 35691 41419 83851
47 17 Male No Yes Asian 91362 27272 25974
35 12 Female No No African American 53401 63931 43682
66 13 Female No Yes Caucasian 10588 40885 20405
75 13 Female No Yes Caucasian 31811 19144 64173
74 17 Female No Yes African American 26067 20089 35610
51 10 Male No Yes Caucasian 28144 27847 85425
57 14 Male No No Asian 52179 18951 91876
34 9 Female No Yes Asian 19537 49927 41400
29 12 Male No Yes Caucasian 25124 13676 76348
56 16 Male Yes No Caucasian 68713 98515 23012
83 15 Male No No Caucasian 62328 10735 15354
41 14 Male No Yes African American 69656 27794 160231
72 15 Male No Yes Asian 44522 58165 121709
57 16 Male No Yes Caucasian 71682 36508 68462
69 15 Female No Yes Asian 36496 73914 113772
66 10 Male No Yes Asian 16304 41025 21153
70 14 Male No No African American 23793 36934 41532
63 11 Male No No Caucasian 23672 134181 31367
51 11 Male No No Caucasian 27229 76782
38 15 Male No Yes Asian 60579 30733
64 15 Female No Yes Caucasian 24230 53308
49 12 Female Yes No Caucasian 23350 55054
58 19 Female No Yes Caucasian 26532
37 19 Male No Yes Asian 13561
83 15 Male No No Caucasian 53480
68 16 Male No Yes Caucasian 55882
56 14 Male No Yes Asian 28508
37 14 Female No Yes Caucasian 29403
36 11 Female No No Asian 148924
32 12 Male No Yes African American 12414
47 18 Female No Yes Asian 22939
40 18 Male No Yes African American 23949
56 16 Male No Yes Caucasian 23857
58 12 Male No Yes African American 14887
66 15 Female No No Caucasian 22561
82 15 Female Yes Yes Asian 106025
49 17 Female No Yes Caucasian 65896
29 15 Female No Yes Asian 80861
26 16 Male No No African American 16479
29 15 Female No Yes Asian 29638
44 9 Male Yes No Caucasian 33437
53 12 Female No No Caucasian 15846
82 16 Male No Yes Caucasian 125480
75 12 Male No Yes Caucasian 24889
47 9 Female No Yes Asian 15333
79 15 Female No Yes African American 32164
30 15 Female No No Asian 20936
50 17 Female No Yes Caucasian 55187
49 15 Male No Yes African American 36362
63 12 Male No Yes Asian 67937
47 18 Male No No Caucasian 83851
46 13 Female No Yes Caucasian 59855
24 10 Male No No Asian 25974
49 9 Male No Yes Caucasian 43682
72 17 Male Yes No Asian 20405
80 12 Female No Yes African American 21455
46 17 Female No Yes African American 14084
80 10 Male No Yes Caucasian 64173
40 12 Male No No Caucasian 35610
60 12 Male No Yes African American 85425
24 11 Female Yes No Caucasian 41419
33 10 Male No Yes Caucasian 91876
67 10 Female No Yes Caucasian 27272
36 14 Male No Yes Caucasian 41400
60 18 Male No No Asian 76348
28 14 Female No Yes African American 63931
81 16 Male No No Caucasian 23012
46 13 Female No Yes African American 40885
65 14 Male No No Asian 15354
69 17 Male No No Caucasian 160231
75 13 Female No No African American 19144
57 15 Female No Yes African American 20089
50 6 Male No Yes Caucasian 121709
78 15 Female No Yes Caucasian 27847
71 16 Male No Yes Caucasian 68462
82 13 Female No No Caucasian 18951
75 17 Female No Yes Caucasian 49927
69 15 Male Yes Yes Caucasian 113772
41 11 Male No No Caucasian 21153
50 12 Male No Yes Caucasian 41532
30 10 Male No Yes Caucasian 31367
44 12 Male No Yes Asian 76782
51 13 Male No No Caucasian 30733
80 16 Female No No African American 13676
78 11 Female No No African American 98515
44 17 Female No Yes Caucasian 10735
35 8 Female No Yes African American 27794
84 10 Male No Yes Caucasian 53308
56 12 Female No Yes Caucasian 58165
74 17 Male No Yes Asian 55054
79 6 Female No Yes Caucasian 36508
67 15 Female No Yes Caucasian 73914
79 19 Female No Yes Caucasian 41025
63 9 Female No Yes Caucasian 36934
48 13 Female No No Caucasian 134181

In: Statistics and Probability

This business decision looks at the impact an externality has on an Investment Choice. A dynamic...

This business decision looks at the impact an externality has on an Investment Choice. A dynamic externality occurs when (as a group) our animals impose a cost on the future provision of the good produced in the commons, that is we can cause environmental damage through overgrazing. There is one pasture we share in common—there are just the two of us using the pasture. On this pasture, milk production as a function of total herd size is as follows:

# of animals

Liters of milk produced

0

0

5

10

10

20

15

30

20

36

25

40

30

44

As you can see, the amount of milk produced increases with the size of the herd—however, it increases at a decreasing rate.

For each livestock owner, the share of this total milk produced they receive is a function of your share of the total herd. The Price of milk is $1 per liter.

For each animal put on the pasture, it costs $1 in private labor costs. (5 animals costs $5, 10 animals costs $10,…)

So if I have 5 animals and you have 5 animals, my payoff is (5/10)*20-5, or 5. If you had 15 animals and I had 5, then it is (5/20)*36-5, or 4.

              a—given no market intervention, what is the Nash Equilibrium if there are two farmers?

              b—What is the Pareto Optimal Equilibrium?

c— What would each investor need to do to create the Optimal Equilibrium? Show your work on all answers!

d—This is an arithmetic question—it does not require extremely high level math. If the government wished to maximize its tax revenue on Milk, how much would it charge given the information provided in the introduction (note—you will create a new equilibrium)?

In: Economics

C++ code please: Write a program that first gets a list of integers from input. The...

C++ code please:

Write a program that first gets a list of integers from input. The input begins with an integer indicating the number of integers that follow. Then, get the last value from the input, which indicates how much to multiply the array by. Finally, print out the entire array with each element multiplied by the last input.

Assume that the list will always contain less than 20 integers.

Ex: If the input is

4 4 8 -4 12 -1

the output is

-4 -8 4 -12

Ex: If the input is

7 0 1 2 3 4 5 6 3

the output is

0 3 6 9 12 15 18

In: Computer Science

The following incomplete balance sheet for the Sanderson Manufacturing Company was prepared by the company’s controller....

The following incomplete balance sheet for the Sanderson Manufacturing Company was prepared by the company’s controller. As accounting manager for Sanderson, you are attempting to reconstruct and revise the balance sheet.

SANDERSON MANUFACTURING COMPANY
Balance Sheet
At December 31, 2018
($ in 000s)
Assets
Current assets:
Cash $ 2,350
Accounts receivable 5,700
Allowance for uncollectible accounts (1,500 )
Finished goods inventory 7,100
Prepaid expenses 2,300
Total current assets 15,950
Long-term assets:
Investments 4,100
Raw materials and work in process inventory 3,350
Equipment 20,000
Accumulated depreciation—equipment (5,300 )
Patent ?
Total assets $ ?
Liabilities and Shareholders’ Equity
Current liabilities:
Accounts payable $ 6,300
Note payable 6,200
Interest payable—note 1,200
Deferred revenue 5,200
Total current liabilities 18,900
Long-term liabilities:
Bonds payable 6,600
Interest payable—bonds 500
Shareholders’ equity:
Common stock $ ?
Retained earnings ? ?
Total liabilities and shareholders’ equity ?


Additional information ($ in 000s):

Certain records that included the account balances for the patent and shareholders’ equity items were lost. However, the controller told you that a complete, preliminary balance sheet prepared before the records were lost showed a debt to equity ratio of 1.3. That is, total liabilities are 130% of total shareholders’ equity. Retained earnings at the beginning of the year was $6,200. Net income for 2018 was $2,100 and $500 in cash dividends were declared and paid to shareholders.

Management intends to sell the investments in the next six months.

Interest on both the note and the bonds is payable annually.

The note payable is due in annual installments of $1,550 each.

Deferred revenue will be recognized as revenue equally over the next two fiscal years.

The common stock represents 500,000 shares of no par stock authorized, 360,000 shares issued and outstanding.

Required:
Prepare a complete, corrected, classified balance sheet. (Amounts to be deducted should be indicated by a minus sign.)
  

In: Accounting