P/E Ratio Model and Future Price Target Corp

question 95

Multiple Choice

P/E Ratio Model and Future Price Target Corp.(TGT) recently earned a profit of $3.57 earnings per share and has a P/E ratio of 17.3.The dividend has been growing at a 14 percent rate over the past few years.If this growth continues,what would be the stock price in five years if the P/E ratio remained unchanged? What would the price be if the P/E ratio increased to 23 in five years?

• A)$118.85, $158.01 respectively
• B)$137.19, $182.39 respectively
• C)$173.87, $231.15 respectively
• D)$308.81, $410.55 respectively

Critically assess the choice of allocation base in cost allocation.

Understand the principles and applications of job-order costing systems.

Analyze and perform calculations using the step-down method for allocating service department costs.

Calculate equivalent units of production using the weighted-average method.

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Definitions:

Restriction Enzymes

Proteins used to cut DNA at specific sequences, essential tools in molecular biology for gene cloning and DNA modification.

Double-Stranded DNA

The structure of DNA in which two linear strands run in opposite directions (antiparallel) and are wound around each other, much like a twisted ladder, forming the characteristic double helix.

Sticky Ends

Single-stranded overhangs resulting from the action of restriction enzymes on DNA, which can be used to join DNA fragments together.

Viruses

Viruses are microscopic infectious agents that replicate only inside the living cells of an organism, leading to various diseases.