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Dear Bassaniobroke and Trephena,
Thank you very much for your advice. I have 2 answers, could you please answer them?
1. If I have information originated from annual report and an analyst of a bank securities, should I cite both or only one?
2. I do research from 2012-2014. For charts and graphs, I would like to insert 2011 figures to evaluate changes in 2012. Is it OK? (This question was asked in topic: https://opentuition.com/topic/three-years/. However, I wish to have a confirm or an answer from you)Thank you so much
Dear Bassaniobroke and Trephena,
Thank you very much for your advice. I have 2 answers, could you please answer them?
1. If I have information originated from annual report and an analyst of a bank securities, should I cite both or only one?
2. I do research from 2012-2014. For charts and graphs, I would like to insert 2011 figures to evaluate changes in 2012. Is it OK? (This question was asked in topic: https://opentuition.com/topic/three-years/. However, I wish to have a confirm or an answer from you)Thank you so much
Wooaaa !!! Mr. John Moffat, just only “Thank you” may be not enough. It is so kind of you to answer promptly a lot of questions in detailed. Thank you soooooo muchhh. I am studying those answers.
Such many questions in MCQ are difficult that I cannot find the way for answers.Could you please help me with these MCQ?
Q1: The share price of CP plc. is $4/share. They announce a 1 for 5 rights issue at $3.10 per share. What is theoretical ex-right (per existing share)?
My work is: ((5x$4)+(1x$3.10))/ (5+1) =$3.85.
Answer is $0.15.Q2: The share price of CP plc. is $4/share. They announce a 1 for 5 rights issue at $3.10 per share. what percentage of the rights offered to a shareholder does the shareholder need to take up so as to have no net cash flow resulting from the issue?
Q3: RI Co has in issue 6% redeemable bonds, quoted as 120% ex interest. The statement is consistent with these information is:
Interest yield is 5% and redemption yield is 4%.
Could you explain?Q4: A project requires an investment of $24,000 at time 0 and generates an inflow of $5000 per year for 8 years (with the first inflow occurring in one year time). What is internal rate of return?
Q5: Issue 8% irredeemable bonds quoted at 86% ex interest. Rate of corporate tax is 25%. Ignore personal tax. Cost of debt =?
Hi Sir,
Could you explain for me this question?
Beta plc is about to pay a dividend of $0.4/share. Dividends are growing at the rate of 5% p.a. The shareholders’ required rate of return is 20% p.a. The rate of corporation tax is 25%. What is current MV/share?I used Dividend growth model with D1 = 0.4 x (1+0.05), Ke = 20%, g = 5%. The result is $2.8. However, key is $3.2.
Could you help me where I am wrong and why?
Thanks in advance.
