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antiseptic1488 [7]
4 years ago
13

Security A has a higher standard deviation of returns than Security B. We would expect that ______.

Business
1 answer:
EastWind [94]4 years ago
7 0

Answer:

Only statement 2 is correct as the likely range of returns of security A would be higher as it has a higher standard deviation which means that its returns deviate more from the mean than security B, which implies that the range of returns of security A is likely to be higher than the range of return on security B.

Statement 1 is wrong because a security has higher risk premium when it has a higher Beta, which means that when the standard deviation is linked to the market returns than it may have a higher risk premium, but just on the basis of standard deviation we can not make that decision.

Statement 3 is wrong because we do not know the risk premiums of both the stocks so we cannot calculate the sharpe ratio as is calculated by dividing the excess returns by the standard deviations of stocks.

Explanation:

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If U.S. immigration consists of mainly low-skilled workers, then an increase in immigration __________ the wages of low-skilled
Andreas93 [3]

Answer:

Option B: will reduce

Explanation:

Immigration is simply movement from one country to another with the intention of staying. Immigrant are coming into the US yearly .

If U.S. immigration consists of mainly low-skilled workers, then an increase in immigration reduce the wages of low-skilled workers as they are too much and wages will have to fall.

7 0
3 years ago
At year-end, the perpetual inventory records of Anderson Co. indicate 60 units of a particular product in inventory, acquired at
omeli [17]

Answer:

A. Debiting Cost of Goods Sold $7,000

Explanation:

The LIFO is a method used to account value for inventory. Under the method, the last item of inventory purchased is the first one sold.

At year-end, the perpetual inventory records of Anderson Co. indicate 60 units of a particular product in inventory, but a physical inventory taken at year-end indicates only 50 units of this product actually are on hand. So 10 units of the product was shrinkage.

The company should debit Cost of Goods Sold to record this inventory shrinkage.

Anderson Co. use LIFO method, the amount shrinkage product:

10 x $700 = $7,000

6 0
4 years ago
Every time 2-year old rosa goes near the stove, her mother stops her and says, "no, hot!" rosa's mother is providing her with a
never [62]
Rosa's mother is providing her with a SCAFFOLD to help her internalize.Scaffold is an instructional method that is temporarily used to impress understanding on a young child. Children learn effectively through the process of scaffolding. 
3 0
3 years ago
If an organization replaces its existing hardware infrastructure with hardware in the​ cloud, then installs its own erp software
Julli [10]

When installing its own ERP software and databases on the cloud hardware, it is most likely using the PaaS or also known as the Platform as a Service in which is a category that focuses on services in cloud computing that has benefits for customers as this allows them to manage their applications.

4 0
3 years ago
Toys, Trinkets and More requires a minimum rate of return of 12% on its average operating assets. The toy department currently h
Serggg [28]

Answer:

Residual Income = $6,000

Explanation:

Residual income is the excess income of a firm leftover the opportunity cost of capital or over the desired income.

Given,

The minimum rate of return 12%

Average operating assets = $300,000

Net operating income = $42,000

We know,

Residual Income = Net Operating Income - (Average operating assets x the minimum rate of return)

Residual Income = $42,000 - ($300,000 x 12%)

Residual Income = $42,000 - $36,000

Residual Income = $6,000

6 0
4 years ago
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