Answer:
b. 30.29
Explanation:
Perpetuity is the state that lasts forever. In statistics the benefit that last for an indefinite period of time is calculated through perpetuity method.
1/1.06 + 1/1.06^2 +1/1.06^3 + 1/1.06^4 + 1/1.06^5 + 1/1.06^6 + 1/1.06^7 + 1/1.06^8 + 1/1.06^9 =
0.942 + 0.893 + 0.87 + 0.821 + 0.791 + 0.752 + 0.691 + 0.652 + 0.604
= 7.017
7.017 / 0.23 = 30.29
Answer:
According to the Interstate Land Sales Full Disclosure Act of 1968, Alex must obtain a public report from HUD and deliver a copy of this report to each prospective purchaser.
Explanation:
The Interstate Land Sales Full Disclosure Act of 1968 was an act of Congress passed in 1968 to facilitate regulation of interstate land sales, to protect consumers from fraud and abuse in the sale or lease of land. The Act was patterned after the Securities Act of 1933 and required land developers to register subdivisions of non-exempt lots or condominium units. Currently, the responsibility for administering the Act and its regulations is with the Consumer Financial Protection Bureau. A regulated developer is to provide each buyer with a disclosure document called a Property Report. The Property Report contains relevant information about the subdivision and must be delivered to each buyer before the signing of the contract or agreement and gives the buyer a minimum period of 7 days to cancel the purchase agreement.
Answer:
Option C. The required return will fall for all stocks, but it will fall more for stocks with higher betas.
Explanation:
If the Market Risk Premium is expected to fall, it means investor require less return for the same investment, it happens because when you make an investment you compare you return with the WACC (discount rate for investments) which includes the Market Risk Premium, if the rate is lower the investor will require less return.
The impact through Beta ratio will be higher if the company's beta is more than one, because this ratio amplify the impact of the Market Risk Premium either up or down.
C wait another week before taking action the post office maybe behind
Answer:
Lowers
Explanation:
Required reserve ratio refers to the portion of deposits with banks that will be kept with central banks. If there is an increase in the required reserve ratio then the banks have to keep more amount of deposits with the central bank which reduces the bank's ability to give loans and create money.
Because with an increase in the reserve ratio, the less amount of deposits available with the banks for giving loans.