The business lends money to businesses or employees.
The company extends the payment period and charges interest as an exception for a customer who is struggling financially.
A note receivable is issued by a company in which circumstances?
The business lends money to businesses or employees. By converting an existing account receivable, the company gives the customer more time to pay the debt plus interest.
In accounting, what are notes receivable?
A note receivable is an asset account linked to an underlying promissory note that specifies in writing the payment terms for a purchase between a "payee" (typically a company, sometimes referred to as a creditor) and the "maker" of the note (typically a customer or employee, sometimes referred to as a debtor). This account is linked to an asset account.
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Full Question = In which situations does a company issue a note receivable? (Check all that apply.)
Sarah is an employee and Ken is an independent contractor at Kerns Realty. Which of the following statements is true?
a. Ken is responsible for his own taxes, while the broker pays Sarah’s
b. Ken must obtain his own training. The broker will not provide any
c. Neither Sarah nor Ken can get employer-provided health insurance
d. Ken and Sarah both must be at the office from 9am to 5pm
Neither Sarah nor Ken can get employer-provided health insurance.
Sarah is an employee and Ken is an independent contractor at Kerns Realty so neither Sarah nor Ken can get employer-provided health insurance because an entity that uses the services of an independent contractor is not required to provide them with employment benefits, such as health insurance and employer-sponsored retirement accounts that the entity may otherwise provide to its employees. An independent contractor is self-employed person or entity contracted to perform work for or provide services to another entity as a non-employee. As a result, independent contractors must pay their own Social Security and Medicare taxes.
Thus, option (c) is correct.
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describe the key factors contributing to effective cash management within a firm. why is the cash management process more difficult in a mnc?
Since a multinational corporation conducts business in several different currencies, the cost of foreign exchange transactions adds another layer of complexity to the cash management process within the MNC.
Establish Effective Accounts Process for collecting receivables: Any company's balance statements will have a sizable chunk devoted to receivables. Especially if you are the manager of a B2B company, the money you are due may remain in the receivables stage for months.
Utilize Payment Terms: Making use of payment terms and understanding when bills are due can help you keep money in your bank account for longer and avoid potential cash flow problems while your company waits for payment from clients.
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why is self-representation important in the corporate world ?
The way you communicate with your coworkers is affected by it.
What does the self represent?The act of portraying oneself includes the manner in which individuals exhibit themselves to others or to oneself (e.g., self-concepts, self-presentation). The affecting self is concerned with how people enable or restrict their own characteristics and activities (e.g., self-enhancement, self-regulation).
Customers and clients are more willing to use brands when they recognize themselves. As previously mentioned, having a more diversified workforce will not only assist a company better understand a wider audience, but it will also draw in a more varied clientele.
How do representational skills work?Cognitive abilities required for mental representation of persons, things, and events, including the use of words and images.
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answer yaron prepares tax returns for small businesses. every year he reminds his clients to write the date, amount, and purpose directly on receipts because in some cases the impressions fade. what type of printer was used to generate those receipts?
Thermal printers were used to generate those receipts.
What is thermal printing?
Thermochromic paper, also known as thermal paper, is run through a print head made up of tiny, electrically heated parts to create a printed image in the thermal printing (also known as direct thermal printing) process. When heated, the coating turns completely black, creating an image.
Despite some two-color designs, the majority of thermal printers are monochrome (black and white).
Although it uses comparable print heads, thermal transfer printing uses ordinary paper with a heat-sensitive ribbon rather than heat-sensitive paper.
The following elements are commonly present in a thermal printer:
Heat is produced by the thermal head, which imprints a picture on the paper.A rubber roller that moves the paper is a platen.Pressure from the spring holds the paper and printhead together.
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answer yaron prepares tax returns for small businesses. every year he reminds his clients to write the date, amount, and purpose directly on receipts because in some cases the impressions fade. what type of printer was used to generate those receipts?
at which of the capability maturity model integration maturity levels, are processes well defined, understood, and consistent across the organization? a. initial b. defined c. managed d. quantitatively managed
Maturity levels, are processes well defined
What is maturity at Level 3?Maturity According to Tutorials Point, Level 3 refers to your organization's processes being "fully characterized and understood and are described in standards, procedures, tools, and methodologies." Processes should be well defined, well-documented, and, to some extent, improved over time. A process that is highly mature means that you have the data necessary to comprehend how it is working, how variations in its implementation and execution effect performance, and what the likely costs and benefits of any modification will be. Statistical and other quantitative techniques are used to govern these chosen subprocesses. Process management uses quantitative objectives for process performance and quality as criterion.
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Which of the following statements is correct about the difference between contribution margin and gross margin?
Contribution margin and gross margin are equivalent.
Gross margin is used for external reporting, while contribution margin is used for internal reporting.
Gross margin is the difference between sales revenue and variable costs.
Contribution margin is the difference between sales revenue and cost of goods sold.
Gross margin is used for external reporting, while contribution margin is used for internal reporting.
Gross margin is the distinction between sales and fee of goods offered (COGS), divided with the aid of sales. Gross margin is expressed as a percent. Typically, it's miles calculated because the selling fee of an object, less the value of goods bought (e. G. Production or acquisition expenses, no longer such as indirect fixed prices like office fees, lease, or administrative expenses), then divided by means of the equal promoting rate. "Gross margin" is regularly used interchangeably with "gross profit", however the phrases are distinctive: "gross income" is technically an absolute economic quantity and "gross margin" is technically a percentage or ratio. Gross margin is a form of earnings margin, specially a shape of earnings divided by using internet sales, e. G., gross (profit) margin, working (profit) margin, internet (income) margin, etc.
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are certificates of debt that usually specify a dollar amount to be repaid plus interest at some future date.
Return on investment (ROI) is calculated by dividing the profit earned on an investment by the cost of that investment.
Investment is the willpower of cash to purchase of an asset to gain growth in fee over a time frame. Investment requires a sacrifice of some gift asset, consisting of time, money, or attempt. In finance, the motive of making an investment is to generate a return from the invested asset. The return may also encompass a benefit (income) or a loss found out from the sale of belongings or funding, unrealized capital appreciation (or depreciation), or investment earnings which includes dividends, hobby, or apartment earnings, or an aggregate of capital gain and income. The go-back can also include currency gains or losses because of adjustments inside the foreign currency trading quotes.
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quizlea state bank must apply to the to obtain a charter or a right to operate. a. u.s. ministry of finance b. state banking authority c. fed d. u.s. comptroller of the currency
State bank must apply to the to obtain a charter or a right to operate u.s. comptroller of the currency and state banking authority.
What is comptroller of the currency?
The Office of the Comptroller of the Currency (OCC) is an independent bureau of the U.S. Department of the Treasury. The OCC charters, regulates, and supervises all national banks, federal savings associations, and federal branches and agencies of foreign banks.
We ensure that the banks we supervise operate in a safe and sound manner, provide fair access to financial services, treat customers fairly, and comply with applicable laws and regulations.
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abigail buys cookies at a local gas station for $2.00 per pack. at the grocery store, she can get 10 packs for $20. online, they will ship 15 packs to her house for $30. what is the best financial advice you can give abigail about purchasing these cookies?
Abigail can buy the cookies at any of the merchants; the cost is the same. She can buy them at any of these merchants; the cost is the same.
What does the term "financial guidance" mean?
Financial advise refers to the practice of giving others advice on the selection, purchase, or sale of financial instruments in order to achieve investment, risk management, or risk mitigation goals.
What makes financial advice so crucial?
Since you might not always have the time, a financial advisor assists you in reviewing and monitoring the performance of your investments. To make sure that your investments are in line with your financial objective, you must regularly monitor your investment portfolio.Learn more about financial advice
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Assuming we are producing near full capacity, an increase in demand (a shift to the right in AD) will result in which of the following?
A. An increase in real GDP
B. An increase in the inflation rate
C. A shift in the AS curve
D. Movement along the AS curve
An increase in demand (a shift to the right in AD) will result in An increase in real GDP.
Gross home product (GDP) is a economic degree of the marketplace fee of all of the very last items and offerings produced and sold (no longer resold) in a particular term via countries.[2][3] due to its complex and subjective nature this degree is frequently revised before being considered a dependable indicator. GDP (nominal) per capita does no longer, but, mirror variations inside the fee of living and the inflation costs of the nations; consequently, the usage of a basis of GDP according to capita at buying strength parity (PPP) may be extra useful while evaluating living standards between nations, whilst nominal GDP is greater beneficial comparing national economies on the worldwide market.
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kenji owns and operates a hot dog stand in downtown new york city. in order to operate his hot dog stand, regardless of the number of hot dogs sold, kenji must purchase a permit from the local government in new york city. kenji's initial profit hill is plotted in green (triangle symbols) on the following graph. suppose the price kenji must pay for a permit decreases by $50 per day. on the following graph, use the purple diamond symbols to plot kenji's new profit hill, for 0, 10, 20, 30, 40, 50, 60, and 70 hot dogs, after the decrease in the price of a permit (with all other factors remaining constant).
After the price of permit rises, profit-maximising level of output is 40 hot dogs per day due to same reason, at this quantity total profit is highest.
Moreover, Kenji initially faces a fixed cost of $50. Since at the 0 quantity of hot dogs there is negative profit of $50 which is fixed cost only.
Initially, kenji's profit-maximising level of output is 40 hot dogs per day. Because this the quantity level at which total profit is highest.
So thats why After the price of permit rises, profit-maximising level of output is 40 hot dogs per day due to same reason, at this quantity total profit is highest.
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which one of the following statements is correct with respect to the characteristics of the products liability loss exposure? A. If losses are not fortuitous, premiums could increase for all policyholders. B. If a loss is fortuitous, the chance of loss could increase as soon as a policy is issued. C. Private insurance is suitable for risks where the probability and timing of loss is known. D. If the insured has control over whether or when a loss will occur, the risk is attractive to insure
The statement given in option A is correct in context to the characteristics of the product's liability loss exposure, which is 'If losses are not fortuitous, premiums could increase for all policyholders'.
Product liability is referred to as the loss exposure a company faces as a result of manufacturing, selling, or distributing a defective or n unsafe product. Any company that makes or sells such products is at risk. Associated injuries, loss or damage may occur virtually anywhere across the world once the company's products or goods have been manufactured or sold.
The rest of the statements given in the options are not correct since none of them describes characteristics related to liability loss exposure of a product.
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a customer buys 100 shares of an investment company and pays the market price plus a commission. the investor has purchased:
A customer buys 100 shares of an investment company and pays the market price plus a commission. the investor has purchased Closed-end investment company.
What are closed-end investment companies?Major conclusions. Investment firms known as closed-end funds have shares that can be bought and sold publicly, just like stocks or exchange-traded funds (ETFs). When shareholders purchase or sell shares, no money moves into or out of the funds. Shares can be bought and sold publicly, much like stocks.The primary distinction between the two is that while a closed-end company makes a single offering of its shares, an open-end corporation continuously offers its shares. A continuously offered share of a redeemable open-end investment corporation is one that is available.To learn more about closed-end investment refer to:
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for a given year, the rate of return on all stocks was normally distributed with a mean of 10% and a standard deviation of 8%. an investor randomly chose one stock at the beginning of the year to hold for the course of the year. what is the probability that the rate of return on this stock was at least 9%?
The probability that the rate of return on this stock was at least 9% is 0.8413.
What is stock?
In the world of finance, stock (also known as capital stock) refers to all of the shares that constitute a corporation's or company's ownership. A single share of stock represents a fractional ownership interest in the company based on the total number of shares. This usually entitles this same shareholder (stockholder) to the that portion of the company's earnings, the proceeds from the sale of company assets, or voting power, dividing these items frequently in proportion to the sums invested by each stockholder. Not every class of stock is created equal; some may have enhanced voting rights, no voting restrictions, or a specific priority to receive profits as well as liquidation proceeds either before or after other classes of shareholders.
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A bakery sells two different types of loaves of bread, made-from-scratch bread and pre-mixed bread. The made-from-scratch bread require(s) three steps: mixing, baking and packaging. The pre-mixed bread only require(s) two steps: baking and packaging The mixing step has a capacity of 170 loaves per hour. The baking step has a capacity of 280 loaves per hour. The packaging step has a capacity of 275 loaves per hour. The demand for made-from-scratch bread is 278 loaves per hour and the demand for pre-mbed bread is 203 loaves per hour. Instruction: Round to the nearest integer percentago. What is the implied utilization of the bottleneck resourco
The implied utilization of the bottleneck resource for this bakery is 175% (packaging)
Any resource whose capacity is equal to or less than the market demand placed on it. Bottleneck resource is usually identified by the resources that are either slower than it should or have an accumulation of work that they cannot process.
How to calculate the implied utilization of the bottleneck resource?
First, let's start to calculate based on three steps of making bread from-scratch
1. Mixing
Capacity = 170
Demand (made from scratch + demand for pre mixed) = 278
Mixing implied utilization = [tex]\frac{demand}{capacity}*100[/tex]
= [tex]\frac{278}{170} * 100[/tex]
= 163.53%
2. Baking
Capacity = 280
Demand (made from scratch + demand for pre mixed) = 278 + 203 = 481
Baking implied utilization = [tex]\frac{demand}{capacity}*100[/tex]
= [tex]\frac{481}{280} * 100[/tex]
= 171.79%
3. Packaging
Capacity = 275
Demand (made from scratch + demand for pre mixed) = 278 + 203 = 481
Packaging implied utilization = [tex]\frac{demand}{capacity}*100[/tex]
= [tex]\frac{481}{275} * 100[/tex]
= 174.91%
The bottleneck resource is the one with maximum / higher implied utilization. Therefore, the bottleneck is packaging.
Implied utilization of bottleneck resource (packaging) = 175%
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Calculate each of the following: 28- (-15) how to calculate this
Answer:
28- (-15) = 43
Explanation:
So we got -1(-15) = 15 because we have to distribute, and now 28 + 15 = 43
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The – is a powerful tool for the president to set the policy agenda by – policy proposals to congress.
A legislative initiative is a powerful tool for the president to set the policy agenda by recommending policy proposals to congress.
The right of competent individuals and institutions to launch for the consideration of a legislative body a bill or proposal to enact a new amendment or a law or revoke existing legislation is referred to as legislative initiative. The legislative initiative implies the obligation to discuss the involvement of the bill on the agenda of the legislative body. The legislative initiative is the beginning stage of the legislative process. As a rule, legislative acts or constitutions determine who has the right to legislative initiative.
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livro company has three operating segments with the following information: in addition, corporate headquarters generates revenues of $2,000. what is the minimum amount of revenue that each of these segments must generate to be considered separately reportable?
A business segment is deemed reportable by the IFRS if it accounts for 10% or more of the total assets or revenue of the company.
What Is a Reportable Segment?The phrase "reportable segment" relates to international accounting procedures known as the International Financial Reporting Standards (IFRS). An operating segment is a reportable segment if it makes up at least 10 percent of the overall business's revenues or assets. It's like a business within a business. International accounting standards require that public companies disclose each segment’s financial activities separately, as well as include that information in the corporation’s aggregate statements. Consider how this might affect your small business's accounting.The IFRS are a set of accounting standards that outline the format for presenting financial results to investors. These standards specify a "reportable section."Generally Accepted Accounting Principles (GAAP), an alternative accounting framework to the IFRS, are mandated for use by businesses in the United States.To Learn more About IFRS refer to:
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how to reduce taxes owed to irs
Answer:
7 Best Tips to Lower Your Tax Bill from TurboTax Tax Experts
Take advantage of tax credits.
Save for retirement.
Contribute to your HSA.
Setup a college savings fund for your kids.
Make charitable contributions.
Harvest investment losses.
Maximize your business expenses.
Estimated tax payments must be equivalent to either 100% of your total tax from the previous tax year or 90% of the income tax you estimate to owe for the current year. Divide the total by four to calculate your quarterly payments. Prior to submitting an offer, all expected tax payments should be made.
What are the methods for reducing taxes?The following tax-cutting strategies are available:
Contributing to a retirement account, whether through an employer-sponsored plan or an individual retirement account, is an efficient approach to minimizing taxable income (IRA).Both health spending accounts and flexible spending accounts assist to minimize taxable income during the years in which they are funded.For full- or part-time self-employed individuals, a long number of deductions are available to reduce taxable income.You may reduce your taxable income by saving for retirement.Some workplaces have flexible spending plans, so inquire about them.To learn more about taxes, click
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The two primary drivers of most disputes are identity and relational issues.
a. True
b. False
True, identity and interpersonal issues are the two main causes of most disagreements.
Which two main factors contribute to conflict?
Conflict has five primary causes: information disputes, value disputes, interest disputes, relationship disputes, and structural disputes. When people disagree about what data is important or have different or insufficient information, information conflicts occur.
What is the most typical factor that leads to interpersonal conflict?
Conflicts Between People Conflicts are more likely to occur when people are experiencing feelings of frustration, stress, bottled up rage, or when there is a lack of communication about lingering issues that builds up and then "comes out sideways."Conflict is a necessary component of interpersonal relationships.
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brian is a general manager for a tool-manufacturing firm. he is considering some changes to the production floor, which include layout adjustments and the purchase of new equipment to improve efficiency. he also wants to promote one of his employees to team leader. which function of management is brian performing?
There are numerous types of diversification, including: When you expand your business horizontally, you acquire or create new goods and services that complement your primary market and appeal to your existing clientele.
Function management?It is the first section of the organizational function and a key component of management. Here, we learn about the plans, including how the work will be done, who will complete it, when it will be completed, and by whom. Four main categories of planning exist.The manager creates various departments and combines them all to achieve future goals in this second aspect of the organization function.After controlling, leading involves managing and inspiring employees to accomplish organizational goals. Rather than concentrating on managing tasks, leading focuses on managing individuals and groups of employees.It is the final part of Management function in which it simplifies the step of the manager to determine whether organizational goals have been achieved or not.Hence, There are numerous types of diversification,
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imagine that cream and sugar are regarded as complements. then an increase in the price of cream will cause a(n)
Imagining that cream and sugar are regarded as compliments then, an increase in the price will cause:
Correlative things are those merchandise which an individual utilize together to eat up their need. There is a reverse connection between the cost and volume requested of corresponding merchandise. Assume X and Y are two reciprocal things and if the pace of X will build the interest for Y will limit and the other way around in the event of diminish in the pace of right X.
In the above case there is a make greater in the cost of cream so because of expansion in control the degree interest for sugar will diminish ,when the interest will diminish the award for sugar will naturally diminish.
Decrease in the supply of cream and sugar and a decrease in the quantity demanded of sugar.
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Antonio is an artisan. The country he lives in allows him to sell his goods to people in other countries without any quotas or tariffs. Likewise, he is free to buy materials he needs for his craft from other countries without any restrictions. The country in which antonio lives practices.
The country in which Antonio lives practices a free trade.
What is free trade?A free trade system of trade does not have import or export limitations. It is also possible to think of it as the free market idea put into practise in international trade. Political parties that support free trade are primarily those that hold positions that are seen as liberal from an economic standpoint, in contrast to political parties that support protectionism, which is the antithesis of free trade and is typically supported by economic nationalist and left-wing political parties. The best example of free trade is Great Britain's unilateral policy, which abolished import and export rules and taxes between the middle of the 19th century until the 1920s. To promote domestic employment, the majority of governments continue to pursue protectionist policies like imposition of import taxes or offering export subsidies.
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__________ refer to those functions that an organization does as well as, or better than, any other organization in the world.
Core competencies refer to those functions that an organization does as well as, or better than, any other organization in the world.
Core capabilities separate an association from its competition and produce a company's competitive advantage in the business. generally, a core faculty refers to a company's set of chops or experience in some exertion, rather than physical or fiscal means.
One type of core faculty isn't necessarily better than the rest. still, some core capabilities may be more delicate for other companies to overcome. For illustration, consider the Coca-Cola brand. The company's core faculty of brand recognition may be veritably delicate for a new libation company to catch. still, Coca-Cola's approach to client service or company culture may be easier for a contending company to catch.
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Holly created a saving and investing plan over twelve years ago. She has not looked at it or made any changes to it. What saving and investing principle should holly have followed?.
Conventional wisdom states that a good return on an investment in stocks is one with an annual ROI of around 7% or higher.
What is a good rate of return? This question doesn't have a single correct response. A "good" ROI is based on a number of variables.Your financial necessity is the most crucial factor to take into account when calculating a solid ROI. Consider a young couple investing, for instance, to cover their newborn child's college expenses. For them, a decent return on investment is one that permits their initial and recurring investments to increase to the point that they can cover college costs 18 years from now.The notion of a successful ROI for this young family would be different from a retiree looking to augment their income. The retiree would define a decent rate of return as one that produces enough recurring income to support them comfortably. Naturally, how one retiree defines a comfortable lifestyle may not be the same as how another defines a good return on investment.To determine what would be a good rate of return, it's also crucial to take into account what you are investing in. Compound annual growth rates (CAGR), which assume that all gains are reinvested, are shown for a number of significant and well-liked investment assets from 1926 to 2019 in the following table:ASSET TYPE COMPOUND ANNUAL GROWTH RATE (CAGR)
Small-cap stocks 11.9%
Large-cap stocks 10.2%
Government bonds 5.5%
Treasury bills 3.3%
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efer to the articles included in the midterm folder on fracking. how can the fracking controversy be viewed according to the sustainability standard? a. describe standard in general in your own words b. apply standard to this controversy
Air pollution and water contamination from harmful chemicals used in hydraulic fracturing are the biggest worries at fracking sites.
The most pressing difficulties at fracking sites include the requirement for wastewater disposal and dwindling water supplies, which are both directly tied to the operation.
Fracking's detrimental effects on the environment are its main drawback. Fracking is significantly less efficient than other methods of sourcing gas, and it is incompatible with climate-friendly energy initiatives to use it in place of green energy sources.
Fracking came in seventh in terms of sustainability out of the nine energy sources they looked at. The journal Science of the Total Environment has published their research.
Five innovations and techniques to make fracking cleaner are:
Making use of water-free fracking techniquesUse recycled water or brine in place of fresh waterReplace any equipment using diesel fuelIntroduction to wastewater treatmentMinimize methane leaksLearn more about Fracking, here
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a document used to assign direct labor costs to individual jobs and track how much time employees spend on each job is called a:
A document used to assign direct labor costs to individual jobs and track how much time employees spend on each job is called a Timesheet.
What do you mean by timesheet?
Thee source document that reports that records how much time an employee spends in a job was the Timesheets. These are received from employees and management and entered into the accounting records during the payroll process. Businesses use timesheets to record time spent on tasks, projects, or clients.
It helps in proper payment, cost and time analysis and record keeping for further steps.
Hence, A document used to assign direct labor costs to individual jobs and track how much time employees spend on each job is called a Timesheet.
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which of the following is the most popular technique for gathering primary data, in which a researcher interacts with people to obtain facts, opinions, and attitudes?
a. heuristic oriented
b. survey research
c. experiment oriented
d. observation research
Observation research is the most popular technique for gathering primary data, in which a researcher interacts with people to obtain facts, opinions, and attitudes.
As the name suggests, observation is a method of gathering facts via a watch. This type of data collection is categorized as a participatory study since the researcher must spend time with her respondents in their environment while taking notes and/or recording. A variety of techniques, including listening, reading, touching, and documenting behavior and phenomenon features, can be used to acquire data through observation.
Both organized and unstructured observation research can be used to collect data. Data collection is carried out using particular variables and in accordance with a predetermined timetable in organized or systematic observation. On the other hand, unstructured observation is carried out in a transparent and unrestricted way because there are no predetermined variables or aims.
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firms that spend the greatest percentage of their revenue on advertising tend to be firms that sell question 30 options: highly-differentiated consumer goods. goods produced by natural monopolies. agricultural products. products with a limited shelf life such as milk and lettuce.
The correct answer is highly differentiated consumer goods. Firms that sell extremely differentiated shopper products square measure additional possibility to pay an outsized share of their revenue on advertising.
Excellent competition has the biggest variety of suppliers. A natural monopoly is a happening of monopoly thanks to high fastened and start-up value or use of some technological completely different that keeps the opposite corporations out of the market that the firm that gives electricity to all or any homes contains a natural monopoly.
A natural monopoly exists in a very explicit market if one firm serves that market at a lower value than any combination of 2 or additional corporations.
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assuming that the market return is 7% and the risk free rate is 3%, what is the value of disney inc. share using the perpetual growth model?
The value of disney inc is $225.34. Unlike the exit multiple technique, which assumes that a company will be sold, the perpetual growth method posits that a company will create cash flows at a steady pace indefinitely.
The perpetual growth model is what, exactly?Unlike the exit multiple technique, which assumes that a company will be sold, the perpetual growth method posits that a company will create cash flows at a steady pace indefinitely.
Dividend per share in the DDM Formula equals the stock value (Required Rate of Return – Dividend Growth Rate)
Rate of Return = Dividend Growth Rate + (Dividend Payment / Stock Price).
(A) Net Income / Shareholders' Fund = $5 Return on Equity (r)
= $225.34.
When evaluating a firm's shares, the Gordon growth model (GGM) implies that the company will always exist and that dividends will continue to grow. The GGM operates by applying the required rate of return to an infinite series of dividends per share and discounting them back into the present.
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