Which of the following expressions gives the present value of future dividends for a company whose current dividend is $5.00 and whose future dividends are expected to grow at rate g?
A) [$5.00(1 - g)]/(i - g)
B) [$5.00(1 + g)]/(i + g)
C) [$5.00(1 - g)]/(i + g)
D) [$5.00(1 + g)]/(i - g)
D
Economics
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When there is a building that is used for production, but no one has clear property rights to it
A) this is known as "dead capital" and causes no production. B) this is known as "dead capital" and causes efficient production. C) resources are guided to their best use by "the invisible hand." D) this is known as "dead capital" and causes inefficient production.
Economics
The average starting salary for a history major is $29,500. If the CPI was 147.5, the real salary is
A) $200.00 an hour. B) $20,000. C) $35,000. D) $43,513. E) $14,750.
Economics