Answer :
<em>The expected standard deviation of both stock is 3.324% and 1.53%</em>
Explanation:
<em>The first step is to compute the expected value and the standard deviation of each stocks.</em>
<em>Kindly find an attached image of the solution to this example given.</em>
Answer: Option A
Explanation: In simple words, business requirements refers to the set of complex activities regarding operating of a business that the organization must performs to continue in the market. Usually these activities involves identifying the needs of others and performing accordingly to fulfill those needs.
These activities are not general in nature, they are specific in nature for a particular group that needs to perform it or the one which needs to get it performed.
Answer:
The most I could pay for the investment is $12,960.09
Explanation:
The maximum a rational investor could pay acquire an investment is the present value of all future cash flows receivable from the investment.
In the case, the present of all cash flows is calculated thus:
Years Cashflows [email protected] 12% PV
1 5000 0.892857143 4,464.29
2 5300 0.797193878 4,225.13
3 6000 0.711780248 4,270.68
Total of present values 12,960.09
The discounting factor is calculated using the formula :
1/(1+r)^n where r and n are rate and number of years respectively.
Answer:
Statement is true
Explanation:
Sometimes several fixed assets are purchased together for a lump sum price. Single amount is paid for different classes of assets. In this case, these assets are recorded differently under fixed asset section in the balance sheet. Each asset is allocated cost based on their fair market value or market price.
This situation arises when a particular land is purchased along with adjacent structures. Single amount is paid for this transaction.