Use the Table for the Question(s)below

question 6

Multiple Choice

Use the table for the question(s) below.
-Banco Industries expect sales to grow at a rapid rate over the next three years,but settle to an industry growth rate of 5% in year 4.The spreadsheet above shows a simplified pro forma for Banco Industries.If Banco industries has a weighted average cost of capital of 12%,$50 million in cash,$60 million in debt,and 18 million shares outstanding,which of the following is the best estimate of Banco's stock price at the start of year 1?

• A)$6.03
• B)$11.12
• C)$12.03
• D)$20.11

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Definitions:

Verbal Messages

Information or ideas conveyed through spoken words in communication.

Non-verbal Messages

Communication that is conveyed through body language, facial expressions, and other physical behaviors rather than words.

You-attitude

A communicative approach that emphasizes understanding and addressing the preferences and concerns of the audience, tailoring the message accordingly.

Audience's Ego

Considering and catering to the self-esteem and feelings of the audience in communication efforts.