Consider Pacific Energy Company and U. S. Bluechips, Inc., both of which reported earnings of $954,000. Without new projects, both firms will continue to generate earnings of $954,000 in perpetuity. Assume that all earnings are paid as dividends and that both firms require a return of 14 percent. a. What is the current PE ratio for each company

Kinkead inc. forecasts that its free cash flow in the coming year, i.e., at t = 1, will be −$10 million, but its fcf at t = 2 will be $20 million. after year 2, fcf is expected to grow at a constant rate of 4% forever. if the weighted average cost of capital is 14%, what is the firm's value of operations, in millions?

Anewspaper boy is trying to perfect his business in order to maximize the money he can save for a new car. daily paper sales are normally distributed, with a mean of 100 and standard deviation of 10. he sells papers for $0.50 and pays $0.30 for them. unsold papers are trashed with no salvage value. how many papers should he order each day and what % of the time will he experience a stockout? are there any drawbacks to the order size proposed and how could the boy address such issues?

What is the second step in communication planning? determine the purpose of the message outline the communication for delivery determine the best channel of communication clarify objectives identify the audience