Face to face channel is a concept in sociology, linguistic, media and communication studies describing social interaction carried out without any mediating technology. The is what the word means
Answer:
Net income for the year = $257,000
Explanation:
Retained earnings for the year= Net income - dividends paid.
Since no dividends were paid, retained earnings for the year = net income for the year. At the end of each accounting period, retained earnings are reported on the balance sheet, and the retained profits for the year are added to the beginning balance of retained earnings, to give a cumulative ending balance of $2,499,000.
therefore retained earnings for the year = ending retained earnings balance - beginning retained earnings balance = $2,499,000.-$2,242,000= $257,000.
Net income for the year is thus = $257,000 since no dividends were paid.
Answer:
false, these two can be related
Explanation:
false
Answer:
Price Risk, Reinvestment Risk, Investment Horizon and Longer maturity Bond.
Explanation:
- Price risk is the risk of a decline in a bond's value due to an increase in interest rates. This risk is higher on bonds that have long maturities than on bonds that will mature in the near future.
- Reinvestment risk is the risk that a decline in interest rates will lead to a decline in income from a bond portfolio. This risk is obviously high on callable bonds. It is also high on short-term bonds because the shorter the bond's maturity, the fewer the years before the relatively high old-coupon bonds will be replaced with new low-coupon issues.
- Which type of risk is more relevant to an investor depends on the investor's investment horizon, which is the period of time an investor plans to hold a particular investment.
- Longer maturity bonds have high price risk but low reinvestment risk, while higher coupon bonds have a higher level of reinvestment risk and a lower level of price risk.
Answer:
the beta of the second stock is 1.77
Explanation:
The beta of the second stock is shown below;
Investment in each = (1 ÷ 3)
Now as we know that
Portfolio beta = Respective investments × Respective weights
1 = (1 ÷ 3 × 1.23) + (1 ÷ 3 × beta of the second stock) + (1 ÷ 3 × 0)
We assume the Beta of risk-free assets would be zero
1 = 0.41 + (1 ÷ 3 × beta of the second stock)
The beta of the second stock is
= (1 - 0.41) × 3
= 1.77
Hence, the beta of the second stock is 1.77
