Answer:
Capm= RF+B(RM-RF)
Capm required return Stock A= 0.04+(0.85*0.06)=0.091=9.1%
9.1% is more than the expected 8 percent return which means that the investor should not buy this security as expected return is less than required return
Capm required return Stock B=0.04+(0.95*0.06)=0.097=9.7%
9.7% is more than the expected 9 percent return which means that the investor should not buy this security as expected return is less than required return
Capm required return Stock C=0.04+(1.2*0.06)=0.112=11.2%
11.2 percent is more than the expected 10 percent return which means that the investor should not buy this security as expected return is less than required return
Capm required return Stock D=0.04+(1.35*0.06)=0.121=12.1%
12.1% is less than the 14 percent expected return which means that the investor should buy this security as expected return is more than required return.
Capm required return Stock E=0.04+(0.5*0.06)=0.07=7%
7 percent is more than the expected 6 percent return which means that the investor should not buy this security as expected return is less than required return
Explanation:
This depends on what the daily limit is for your card.
Usually the theft should be reported right away.
They are buying a souvenir.
Answer: FALSE
Explanation: In accounting,cost is the total amount of resources that are used by an organisation for the production of goods or service that they offer in the market for sale.
In the given case, payment to capital suppliers and deduction of payments to the entrepreneur are not considered while computing cost.
Hence, the above statement is false.