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Ber [7]
2 years ago
11

What does the release of earnings announcements

Business
1 answer:
Varvara68 [4.7K]2 years ago
3 0

The release of earnings announcements and economic indicators are similar because c) both are estimated in advance by analysts.

<h3>Why are earnings announcements analyzed?</h3>

Earnings announcements help determine the value of a company and so they are analysed to help people decide if they can invest and make a capital gain.

Economic indicators are also analyzed with the goal being to predict where the economy is going and what to do about it.

The full question and options are:

What does the release of earnings announcements have in common with the release of economic indicators?

a) Both are typically released on a quarterly basis.

b) both are typically published by corporations

c) both are estimated in advance by analysts

Find out more on economic indicators at brainly.com/question/903754.

#SPJ12

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Maturity Risk Premium The real risk-free rate is 3%, and inflation is expected to be 2% for the next 2 years. A 2-year Treasury
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Answer:

The maturity risk premium is 1.0%.

Explanation:

The maturity risk premium or the 2-year security can be calculated as follows:

Maturity Risk Premium = Yield of the treasury note - Nominal risk free Interest rate

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Therefore;

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3 years ago
At a total cost of $5,600,000, Herrera Corporation acquired 280,000 shares of Tran Corp. common stock as a long-term investment.
Volgvan

Answer:

1.

Date            Account title                                            Debit                Credit

Dec. 31        Investment in Tran Corp.                     $210,000

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Working:

Herrera owns 280,000 out of 800,000 Tran Corp shares so they will recognize:

= 280,000/800,000 * 600,000

= $210,000 of Tran Corp. net income.

2.

Date            Account title                                         Debit                  Credit

Dec. 31        Cash                                                   $140,000

                   Investment in Tran Corp.                                               $140,000

Working

Cash received as dividend = 0.5 * 280,000 share

= $140,000

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