Answer:
The correct answer is option (A).
Explanation:
According to the scenario, the computation of the given data are as follows:
First, we will calculate the Market risk premium, then
Market risk premium = (Required return - Risk free rate ) ÷ beta
= ( 9.50% - 4.20%) ÷ 1.05 = 5.048%
So, now Required rate of return for new portfolio = Risk free rate + Beta of new portfolio × Market premium risk
Where, Beta of new portfolio = (10 ÷ 18.5) × 1.05 + (8.5 ÷ 18.5) × 0.65
= 0.5676 + 0.2986
= 0.8662
By putting the value, we get
Required rate of return = 4.20% + 0.8662 × 5.048%
= 8.57%
Answer: Reduce output
Explanation: Profit = Total Revenue – Total Costs
Therefore, profit maximization occurs therefore, profit maximization occurs at the most significant gap or the biggest difference between the total revenue and the total cost.
TC = AC×Q = $4×500 = $2,000
Theoretically, profit maximization occurs where MR = MC
From the forgoing, producing an extra unit will increase the cost of the company thereby reducing profit.
The company should reduced output to around 499 units or less
Answer:
Grew by 2%
Explanation:
Given: nominal GDP =12% positive value cause it grew by 12% during these years.
Population grew by 4%
GDP deflator = 6% positive value cause it also grew by 6%
Question says we must find real GDP per person for the 4 year term that the president has served for so we will use the formula to calculate GDP Deflator to actually solve for Real GDP as we know the formula is GDP Deflator= (nominal GDP per person%)/(Real GDP per person%)x100
So we already have the nominal GDP and the GDP deflator therefore we substitute to the above formula:
6% = (12%)/ (Real GDP per person percentage) x100, and now we solve for Real GDP per person%
Therefore we multiply both sides with Real GDP percentage and get:
Real GDP per person %( 6%) = 12% and then we divide both sides with 6%,
Therefore Real GDP is 2% so we also see that real GDP has actual grown by 2% because the GDP deflator grew instead of decreasing where nominal GDP is also positive so if we have a fraction where an answer is positive we know both fraction values must be positive pus if the GDP deflator increases both nominal and Real GDP increase and that’s the relationship they have.
Car and automobile may generate the advertising manager's ad.
<u>Explanation:</u>
Broad match modifiers permit you to show if there are sure ideas identified with your catchphrases that must be available in the inquiries you reach.
Broad match is a solid match on the off chance that you need to invest less energy building comprehensive catchphrase records. Your watchwords will match to a more extensive variety of search terms, and you'll contact individuals not really looking for your particular image or business. It resembles throwing a wide net to arrive at look through identified with your catchphrases.
Dividends= $ that people who bought stock in a company receive. Generally, these increase when the company is doing well.
Stock= becomes more expensive the better a company is doing and has been doing for a while because it is in higher demand.
I predict that the company's stock will rise because it is in higher demand based upon it's consistently doing well. Make sense?
