The keys to the company’s future value and growth are profitability (ROE) and the reinvestment of retained earnings. Retained earnings are determined by dividend payout. The spreadsheet sets ROE at 15% for the five years from 2006 to 2010. If Reeby Sports will lose its competitive edge by 2011‚ then it cannot continue earning more than its 10% cost of capital. Therefore ROE is reduced to 10% starting in 2011. The payout ratio is set at .30 from 2006 onwards. Notice that the long-term growth rate
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Question #01 Q # 1. What is international marketing? How it is different from domestic marketing? International marketing: International marketing involves recognizing that people all over the world have different needs. Companies like Gillette‚ Coca-Cola‚ BIC‚ and Cadbury Schweppes have brands that are recognized across the globe. While many of the products that these businesses sell are targeted at a global audience using a consistent marketing mix‚ it is also necessary to understand
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What is the weighted average cost of capital (WACC) for Marriott Corporation? WACC = (1 - τ)rD(D/V) + rE(E/V) D = market value of debt E = market value of equity V = value of the firm = D + E rD = pretax cost of debt rE = after tax cost of debt τ = tax rate = 175.9/398.9 = 44% Cost of Equity Target debt ratio is 60%; actual is 41% [Exhibit 1] βs = 1.11 βu = βs / (1 + (1 – τ) D/E) = 1.11/(1 + (1 – .44) (.41)) = 0.80 Using the target debt ratio of 60%: βTs = βu (1 + (1 – τ) D/E)
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CASE OF STUDY DOT-COM CRASH OF 2000 1. What is the intended role of each of the institutions and intermediaries discussed in the case for the effective functioning of the capital market? * Investors: Trade with proper education and information. * Investment Banks (underwrites): provide advisory financial services‚ helped the companies price their offerings‚ underwrite the shares‚ and introduce them to investors‚ often in the form of a road show. * Entrepreneurs and existing
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Communication Theories Match the communication theories with their descriptions by placing the letter of the description in the blank. 1. ____ Social penetration theory 2. ____ Communication accommodation theory 3. ____ Spiral of silence theory 4. ____ Relational dialectics theory 5. ____ Rhetoric/dramatism/narrative paradigm 6. ____ Muted group theory 7. _____ Communication privacy management theory 8. _____ Organizational culture theory 9. _____ Agenda-setting
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Q.1 Describe Any Situation In Your Experience Where The Communication Went Wrong. Analyze The Situation By Pointing Out The Type Of Barrier To Communication And Suggest How To Overcome This Barrier. [10 Marks]. Answer- Once I had gone to visit a friend in the next town which is along a major highway and stretched about 100km. He asked me to a light at the second bus stop in the town. When the bus I took got closer to the town‚ I informed the bus conductor where I will alight. He gave a node amidst
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A Case of Mistaken Identity It was a nice and peacefull night in Miami‚ Thomas was driving his car along a quiet country road with his friends Paul‚ John and Stewart. Paul’s arm was in a sling as he had broken it a few weeks ago. They were driving to the Pauls home which was a few hours away. The quiet drive suddenly turned into a nightmare when a car with three men in it overtook them. The man at the back seat appared to have a gun and pointed it Thomas and motioned him to stop. Horrified‚ Thomas
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Our business activities in Oman is Downstream‚ fuel and lubricants marketing. We aim to be the leading fuel marketing company in Oman‚ meeting the energy requirements and contributing to the economic prosperity of Oman and our customers in an environmentally and socially responsible manner. Shell has been active in the Sultanate of Oman since 1958. Our business activities in Oman are fuel and lubricants marketing. Our main offices in Oman are based in Muscat – Mina Al Fahal. Our values Our core
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About Diapers.com Store Accept buys from Diapers.com store which was formed in 2005 by Vinit Bharara making it a center providing child products. Avail a more prominent means with attainments as a common occurrence you will be provided through Diapers.com. Select from an online store that gets you items for infant use and it makes a major difference to the way they get cared as. Make a purposed and clarified approach towards this store you will always want to connect with and see best resolution
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2. Are their incentives aligned properly with their intended role? Whose incentive was more misaligned? The institutions and intermediaries who are aligned are: FSAB‚ VC‚ Investors. FSAB is just a standard board whilst the other two are investing in companies which they think will be good and have incentive to pick the right companies. The misaligned would be the buy-side analysts as they thought if they didn’t buy stocks they wouldn’t reach their benchmark so they only recommended stocks which
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