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1 year ago

The measure of systematic risk is called ________.

Business

1 answer:

Lorico [155]1 year ago

4 0

The measure of systematic risk is called beta.

The answer is option c.

Beta is the same old CAPM measure of systematic hazard. It gauges the tendency of the go back of protection to transport in parallel with the return of the inventory market as an entire. One manner to consider beta is as a gauge of a protection's volatility relative to the marketplace's volatility.

Systematic risk is a part of the total risk this is caused by factors beyond the control of a specific company or individual. Systematic risk is caused by elements that are outside to the organization. All investments or securities are situations to systematic hazard and, therefore, it's far a non-diversifiable chance.

To measure a monetary firm's contribution to systemic hazard includes measuring the company's expected capital shortfall in a crisis. This right away offers the regulator with a quantifiable degree of the relative significance of a firm's contribution to ordinary systemic chance.

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Which of the following is NOT considered a trend in marketing?

den301095 [7]

Answer:

Explanation:

Because that would not make any sense of "distributive marketing

3 0

3 years ago

Atlas Corp. is considering two mutually exclusive projects. Both require an initial investment of $10,000 at t = 0. Project S ha

snow_lady [41]

Answer:

A) $56.5

Explanation:

Data:

Project S

Initial cost $10,000

Y1 CF = $6,000

y2 CF = $8,000

Project L

Initial Investment = $10,000

Y1-Y4 CF = $4,373

Solution:

For Project S

We shall prolong the project to four years so it can be easily compared to project L

Following shall be the cashflow stream:

Y0=-$10,000 Y1=$6,000 Y2=-$2,000($8,000 CF - $10,000 outlay for prolonging the project second time) Y3=$6,000 Y4=$8,000

Now to discount the cashflow

$NPV=-10000/(1+0.0925)^0+6000/(1+0.0925)^1-2000/(1+0.0925)^2+6000/(1+0.0925)^3+8000/(1+0.0925)^4$

$NPV=4033.40$

For Project L

In order to calculate present value of the annuity, following formula will be used:

$PV=PMT(1+(1/(1+r)^n)/r$

NPV = Initial outlay - PV

$4373(1+(1/(1+0.0925)^4)/0.0925=14089.9$

$NPV=-10000+14089.9$

$NPV=4089.9$

Now, we can easily calculate how much value will the firm gain or lose if Project L is selected over Project S

$Value=NPV(L)-NPV(S)$

$Value=4033.40-4089.90$

$Value=56.50$

*all figures are rounded off to two decimal points*

7 0

3 years ago

Advantage of

Allushta [10]

Market penetration- quick diffusion and adoption of your product in the marketplace, incentives to be efficient, discouragement of competition and creation of goodwill

proud to development- keeping pace, seizing opportunities, providing opportunities and being newsworthy

market development- gaining new customers, increased revenue and company growth

diversification- minimizing risk of loss, preserving capital and generating returns

3 0

3 years ago

When a retail merchandising business sells goods to a customer the amount of the sold merchandise is credited to the merchandise

Ghella [55]

Answer: False

Explanation:

The revenue account for a Retail Merchandising Business is also known as the Sales Account.

When goods are sold they are credited to the Sales Account and it is no different here.

Therefore, When a Retail Merchandising Business sells goods to a customer the amount of the sold merchandise is credited to the Sales Account which makes the above statement false.

8 0

3 years ago

Getty Company expects sales for the first three months of next year to be $200,000, $235,000, and $298,000, respectively. Getty

GarryVolchara [31]

Answer:

Getty’s cash receipts for the months of February: $225,900

Getty’s cash receipts for the months of March: $281,620

Explanation:

Cash sales:

In January = 35% x $200,000 = $70,000

In February = 35% x $235,000 = $82,250

In March = 35% x $298,000 = $104,300

Credit Sales:

In January = 65% x $200,000 = $130,000

In February = 65% x $235,000 = $152,750

In March = 65% x $298,000 = $193,700

Getty’s cash receipts for the months of February = Cash sales of February + 40% x Credit sales of January + 60% x Credit sales of February = $82,250 + 40% x $130,000 + 60% x $152,750 = $225,900

Getty’s cash receipts for the months of March = Cash sales of March + 40% x Credit sales of February + 60% x Credit sales of March = $104,300 + 40% x $152,750 + 60% x $193,700 = $281,620

8 0

3 years ago