Answer:
C. 13.6 percent
Explanation:
In this question, we apply the Capital Asset Pricing Model (CAPM) formula which is shown below
Expected rate of return = Risk-free rate of return + Beta × risk-free rate of return + Beta × market risk premium
= 4% + 0.6 × 4% + 1.2 × 6%
= 4% + 2.4% + 7.2%
= 13.6%
The (Market rate of return - Risk-free rate of return) is also known as market risk premium
Answer: Debit Accounts Receivable $1,000, credit Service Revenue $1,000--A
Explanation:
When services are provided to customers for cash directly, The account to record is to debit from Cash and credit Service Revenue but when services are provided on account, The journal to record includes a debit to Accounts Receivable and Credit to Service Revenue
Therefore
Providing services to customers for $1,000 on account is recorded as:
Accounts titles Debit Credit
Accounts Receivable $1,000
Service Revenue $1,000
Answer:
The correct answer is a) Holding inventory in excess of typical replenishment requirements.
Explanation:
Prolonged storage determines excess inventory in a given time, which is a great challenge due to having enough space to receive all the merchandise and all the necessary process to guarantee its care. The companies that carry out these tasks generally have the necessary experience to insure the merchandise until the moment it must be removed from the warehouse or storage.
Answer:
Plan A
Explanation:
The deductible is what you pay out of pocket by the policy holder so you would have to pay more a year for insurance but less for a deductible.