It costs Smith Widget Company $20 to place an order to its supplier.
1. It also costs the company $2 per widget to store the unsold inventory
in its warehouse. If the company sells 30,000 widgets each year, what
quantity should the company purchase when it places an order to its
supplier?
2. A stock listed on the NYSE has a current price of $26.10, which is
a P/E multiple of 18 times its annual earnings. The company has just
released its latest annual earnings of $1.98 per share. As such, we
should expect the stock price to eventually adjust up to _________ per
share, assuming no change in the multiple.Sounds like homework.
Problem 1 sounds like it is missing some information. Problem 2 is
straight forward.#If you have any other info about this subject , Please add it free.# |
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7 January 2009 |
cameltoepants.com |
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