Answer:
The answer is A.
Explanation:
B doesnt make much sense and C is just plain stupid
Answer and Explanation:
Gross domestic product does not include the value of the stocks and bonds bought and sold because these sales and purchases are not economic
Investment and should be counted as production of final goods and services.
Gross domestic product (GDP) is the total amount of goods and services produced and consumed within the country
Answer:
c. The firm will make an additional $4200 in income per day if it sells taco shells instead of tortillas.
Explanation:
Tortilla daily revenue: $8000
Tortilla daily cost: $22500
Taco shell daily revenue: $26,700
Taco shell daily cost: $8000 + $4200 = 12200
Additional income if Taco Shells sold instead of Tortillas: $26,700 - 22,500 = $4200
Answer:
The correct answer is B
Explanation:
Stockout or OOS stands for Out of Stock, which is event that causes the inventory to be exhausted. It occur with the entire supply chain.
In this case, Firm is facing failure for having adequate or enough supplies on hand, which result in the lost sales amounts to $175,000. It is representing the Stockout in the inventory management costs.
Answer:
1. Using CAPM, the required return is;
Required return = risk free rate + beta * market risk premium
= 6% + 1.5 * 9%
= 19.5%
2. First find the portfolio beta which is a weighted average of the individual betas;
= (60% * 2.4) + (40% * 0.9)
= 1.8
Now use CAPM
= risk free rate + beta * (Market return - risk free rate)
= 4% + 1.8 * (13% - 4%)
= 20.2%
3.Geometric average can be calculated by;
=( ((1 + r1) * (1 + r2) * (1 + r3)) ^1/n) - 1
= (((1 + 6%) * (1 + 10%) * (1 - 6%)) ^ 1/3) - 1
= (1.09604^1/3) - 1
= 3.1%
