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3 years ago

Which of the following is a characteristic of a well diversified portfolio?

Business

1 answer:

Bogdan [553]3 years ago

8 0

Answer:

c. very little unsystematic risk.

Explanation:

The first option is wrong because a diversified portfolio can only lockout unsystematic risk which is due to a particular business sector and not the risk emanating from the whole market which is systematic in nature.

The second option is also wrong because systematic risk cannot be diversified away.

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Assume that Horicon Corp acquired 25% of the common stock of Sheboygan Corp. on January 1 for $300,000. During the year Sheboyga

Misha Larkins [42]

Answer:

Option C. Debit Cash and credit Stock Investments

Explanation:

The reason is that in the equity method of recording the dividends receipts, it is always deducted from the stock investment and the relevant share of reported net income of the associate is added to the stock investment.

So mathematically,

Stock Investment Under Equity Method = Opening Value for the year + Share of Net Income - Dividend received

Stock Investment Under Equity Method = $300,000 + $160,000 * 25% + $60,000 * 25% = $325,000

The above treatment shows that the recording of dividends include credit to stock investment and the cash receipt is always debited.

So the double entry would be:

Dr Cash $15,000

Cr Dividends $15,000

So the option C is correct.

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3 years ago

Which fees was John charged on his checking account during this statement period?

Zigmanuir [339]

The overdraft fee is the fee that John was charged on his checking account.

<h3>What is an overdraft fee?</h3>

This is a fee that has to be paid due to the fact that a payment has been authorized.

The overdraft fee is usually paid to cover transactions if there are not enough funds in the account.

<h3>The checking account</h3>

This is a current account that lets deposit and easily withdraw for the sake of transactions.

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2 years ago

When tires are taxed and sellers of tires are required to pay the tax to the government, Group of answer choices the price paid

lyudmila [28]

The correct option is, the quantity of tires bought and sold in the market is reduced.

<h3>When tires are taxed and sellers of tires are required to pay the tax to the government?</h3>

The amount of tires purchased and sold on the market decreases when tires are taxed and tire vendors are compelled to pay tax to the government.
The loss of consumer and producer surpluses that are not accounted for in government revenue.

<h3>When a tax is placed on a product the price paid by buyers?</h3>

In general, taxes increase the price consumers pay, decrease the price sellers receive, and decrease the amount of goods sold.
A tax must result in a deadweight loss if it is imposed on a good and sales volume is decreased.

<h3>What is deadweight loss?</h3>

The cost of market inefficiency, which happens when supply and demand are out of balance, is known as a deadweight loss.
Deadweight loss, a term mostly used in economics, refers to any deficit brought on by an ineffective resource allocation.

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2 years ago

Identify the steps to conducting a simulation in the correct order. (1 point) state the problem or question, state the assumptio

NeTakaya

<span>Simulation is an imitation of a situation or a chance behavior that accurately reflects the situation under consideration. </span>

<span>Steps in conducting a simulation in the correct order (first choice)</span>

• State the problem or question

• State the assumptions,

<span>• Assign digits to represent outcomes,
• Simulate many repetitions
• State your conclusions</span>

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3 years ago

Governments at the federal, state and local levels enact laws that influence consumer behavior in all of the following ways, exc

Crazy boy [7]

All of the following ways that consumer behavior is influenced by laws that are passed by federal, state, and municipal governments, with the exception of, providing incentives to purchase specific brands over others.

<h3>What are the many governmental levels?</h3>

The federal government, state governments, and municipal governments are the three tiers of governance in the United States.

The U.S. Constitution grants Congress, the President, and the Federal courts, respectively, the authority to act as the legislative, executive, and judicial departments of the federal government. Three branches make up the federal government, which is the main and highest level of government in the US.

The first tier or level of democratic government is the Panchayati Raj system. Since the members of the Gram Sabha chose the Panch and the Gram Panchayat, they are accountable to the Gram Sabha.

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1 year ago