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4 years ago

12. When it comes to managing money, success

Business

1 answer:

Deffense [45]4 years ago

5 0

<u>Answer:</u> Option D

<u>Explanation:</u>

The personal finance success of the person depends on the money managing behavior rather than the knowledge. If more money is spent then the individual looses the opportunity to make investments and save for the future.

Increased spending without saving also has the risk of increased debts and increases the stress. The savings is low for many people and for the purpose of spending money they borrow money. A person who has more debts it keeps him from building assets and investments.

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A reason to trade with other nations is that trade

elixir [45]

Allows consumers to buy goods and services at a lower cost

7 0

4 years ago

You manage a risky portfolio with an expected rate of return of 17% and a standard deviation of 29%. The T-bill rate is 8%. Your

Anastasy [175]

Answer:

13.85% and 18.9%

Explanation:

As in this exercise we have a free risk asset we will assume that the t-bill has a standard deviation of 0%, so let´s firts calculate the expected return:

$E(r)=r_{1}*w_{1} +r_{2}*w_{2} +....+r_{n}*w_{n}$

where E(r) is the expected return, $r_{i}$ is the return of the i asset and $w_{i}$ is the investment in i asset, so applying to this particular case we have:

$E(r)=17\%*65\%+8\%*35\%$

$E(r)=13.85\%$

the calculation of standar deviation follows the same logic of the previous formula:

$Sigma(r)=29\%*65\%+0\%*35\%$

$Sigma(r)=18.9\%$

4 0

4 years ago

If Pratt Company issues 5,000 shares of $5 par value common stock for $210,000, the accounta. Common Stock will be credited for

antiseptic1488 [7]

Answer:

d. Cash will be debited for $210,000.

Explanation:

The journal entry for the issue of shares is shown below:

Cash A/c Dr $210,000

To common stock (5,000 shares × $5) = $25,000

To Paid-in Capital in Excess of Par Value $185,000

(Being issue of shares recorded)

So, the cash account is debited whereas the common stock and paid-in capital should be credited

And, the remaining balance should be transferred to the Paid-in Capital in Excess of Par Value

5 0

3 years ago

A company estimates that it will sell 100,000 units of finished goods in March. Each finished good requires 5 feet of raw materi

Lady bird [3.3K]

Answer:

497,000 units

Explanation:

Total production:

= Budgeted production + Desired ending inventory

= (100,000 × 5) + [(9,000 × 5) + 42,000]

= 500,000 + (45,000 + 42,000)

= 500,000 + 87,000

= 587,000

Units to be purchased:

= Total production - Beginning inventory

= 587,000 - [(10,000 × 5) + 40,000]

= 587,000 - (50,000 + 40,000)

= 587,000 - 90,000

= 497,000

Therefore, the raw materials should the company plan to purchase during March is 497,000 units.

4 0

3 years ago

During a trip to the grocery store, your friend wants to buy some bottled water. Some brands promote the fact that their product

hjlf

Answer:

Most likely

Explanation:

Artesian or spring waters come from a natural source but are bottled off-site and are processed and purified. Mineral water could be natural spring water or artesian water, comes from an underground source, and contains at least 250 parts per million (ppm) of dissolved solids, including minerals and trace elements.

Artesian water is just water that naturally flows out of the ground, usually through a well. Springwater is also water than naturally flows out of the ground. ... Most drillers and laymen label waters as 'artesian' if they rise naturally to a level above the ground surface, and if unrestricted, flow freely out.

5 0

3 years ago