Answer: I found the correct and complete question:
Which of the following statements is most CORRECT with respect to international diversification?
a) the gains from diversification may be diminished due to combined correlations accompanied by volatility in world markets. b) world markets always seem to be most uncorrelated when volatility is present. c) world markets have displayed relatively low and fixed correlations over the last five years. d) global diversification produces gain even when world markets have correlations value near one.
Explanation: The correct answer is "a) the gains from diversification may be diminished due to combined correlations accompanied by volatility in world markets.".
Global markets are generally in different phases and many of them are part of weak economies that therefore have a high degree of volatility and some are correlated so that a loss in one of these markets can lead to a loss in another and earnings can be diminished.
False. ALL cover letters should be personalized to either fit the job for which you are applying to the person to whom you are sending it.
Answer :$3
Explanation:
Considering the distance between each city the company will charge $3 for the top up on each product they sell. Distance contributes to price difference for industries, as their products are being sold in different location there is usually a need to sell with an additional cost by the company to meet up with needs and adjustment caused by the divers location.
Answer:D
Explanation: A perfect competition is characterised by identical product and no barriers to entry. Products are perfect subsistuites.
The HHI index is used to measure the market power and therefore concentration of firms in the market.
An index less than 1000 indicates the firm isn't concentrated
An index between 1000-1800 indicates moderate concentraruon
An index of over 1800 indicates high concentration
An oligopoly is when there are a few numbers of firms in a market that are interdependent.
Answer: The following journal entries would be recorded upon disposal of the equipment:
Debit Credit
Cash $100,000
Accumulated depreciation $140,000
Equipment $250,000
Loss on disposal of asset $10,000
Explanation: Using the straight-line method of depreciation, the following formula applies: (Historical cost - Salvage value) / No of years
<u>Depreciation = ($250,000 - $50,000) / 5 years = $40,000 yearly </u>
Accumulated depreciation (January 1, 2010 - July 1, 2013) for three and half years is $140,000 (3.5 years * $40,000). This means that the equipment had a net book value (NBV) of $110,000 as at the time of disposal. So, the above entries would eliminate the asset in the books and recognise the loss on disposal (sales proceed was less than the NBV).
