Exam (elaborations)
MAC2602 ASSIGNMENT 4 SEMESTER 1 2023
- Course
- Institution
MAC2602 ASSIGNMENT 4 SEMESTER 1 2023
[Show more]
Seller
Follow
boelangvillage863
Reviews received
Content preview
MAC2602Assignment 4
(ANSWERS)
Semester 1 2023
, SEMESTER 1 2023
MAC2602
ASSIGNMENT 4
SEMESTER 1 MAY 2023
, Started on Wednesday, 4 May 2023, 11:15 AM
State Finished
Completed on Wednesday, 4 May 2023,12:07 AM
Time taken 51 mins 17 secs
Marks 46.00/50.00
Grade 88.00 out of 100.00
Question 1
Correct
Mark 3.00 out of3.00
The current market price ofa share is R50,00 and the next expected dividend per share is R2,00. It is expected that the earnings and dividends will show a
growth of 10% per annum
REQUIRED:
Determine the cost of an ordinary share by using the constant growth model
(a) 10%
(b) 14%
(c) 1,25%
(d) 2,14%
Select one:
a. 10%
✓
C. 2,14%
d. 1,25%
, Question 2
Correct
Mark 3.00 out of 3.00
Portia would like to invest R2 000 at an annual compound interest rate of 12%.
REQUIRED:
Determine the future value of her investment after three (3) years. [Set your calculator at four decimal places. Round your final answer to the
nearest rand. Slight rounding differences may occur - choose the alternative that is closest to your answer.]
(a) R3 200
(b) R3 450
(c) R2 810
(d) R3 147
Select one:
✓
a. R2 810
b. R3 450
C. R3 200
d. R3 147
Question 3
Correct
Mark 3.00 out of3.00
The following information about No-Waste Limited is available:
The 1mrket interest rate of similar debentures is 18% (pre-tax)
Debentures mature in 10 years' time and the coupon rate thereon is 14%
Tax rate is 28%
REQUIRED:
Calculate the After tax cost of debt ofN o-Waste Limited. [Round your final answer to two decimal places.]
(a) 10,08%
(b) 14,00%
(c) 12,96%
(d) 12,43%
Select one:
a. 10,08%
b. 14,00%
✓
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller boelangvillage863. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $2.76. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
52355 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now