Answer:
E
Explanation:
As the capital asset pricing model dictates, assest's systematic risk is captured by beta parameter. If we have beta value of asset then we can calculate expected return.
- expected return = risk free rate + beta * market risk premium
As both A and B have same beta hence they have same expected returns.
Answer:
it seems like a difficult question
Answer:
Information overload
Explanation:
Information overload can be described as a type of difficulty experienced by individuals in some situations, it is as a result of too much information present at a particular time, this makes it hard for the individual to carry out the right decision.
As individuals we come across a lot of information daily, but our brains can only process such information one at a time, if we attempt to process more data it may lead to the overstressing of the brain capacity which may eventually cause information overload.
Answer: $18000
Explanation:
We should note that the value of the contributed assets would be based on the fair values.
With regards to the question, we are already informed that the land was sold for $18,000 which in this case is the fair value of the asset.
Therefore, the amount that should be recorded in Cobb's capital account on formation of the partnership would be $18000.
Answer:
A) The purchasing manager was able to negotiate a lower purchase price for raw materials.
Explanation:
Direct Material Price Variance = (Standard Price - Actual Price) Actual Quantity
This clearly shows that the variance can be positive when actual price is less than standard, in case actual price is more than standard even if the quantity is more variance will be unfavorable, therefore out of all the options provided correct option is
A) The purchasing manager was able to negotiate a lower purchase price for raw materials.