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Andrei [34K]
3 years ago
7

The average annual return over the period 1926-2009 for the S&P 500 is 12.0%, and the standard

Business
1 answer:
arsen [322]3 years ago
5 0

Answer:

C) -30.6%, 54.6%

Explanation:

95% Confidence Interval = (Average Return - 2*Standard Deviation, Average Return + 2*Standard Deviation)

=(0.12 - 2*0.213, 0.12 + 2*0.213)

= -30.6%,54.6%

Therefore, The 95% confidence interval for  2010 returns is -30.6%,54.6%.

You might be interested in
Using the Rule of 70, if Slowland's GDP grows at 2% per year and Speedyland's GDP grows at 5% per year, how much quicker will Sp
Solnce55 [7]

Answer:

b. Speedyland will double its GDP 21 years quicker than Slowland.

Explanation:

According to the rule of 70, it tells about the number of years to double

For Slowlands

= 70 ÷ 2

= 35

For speedyland

= 70 ÷ 5

= 14

So if we take the difference than it comes

= 35 - 14

= 21

Hence, the correct option is b and the same is to be considered

And all other options are wrong

6 0
4 years ago
A 1996 bill reforming the federal government's antipoverty programs limited many welfare recipients to only two years of benefit
stealth61 [152]

Answer:

more

less

more

Explanation:

The limit on unemployment benefits would increase the incentives to find a job because after the 2 years period is over, those without jobs would get no benefits from the government.

Income distribution becomes more unequal because those who don't find jobs after the 2 year period would have no income

The economy would become more efficient because there would be an increase in the number of people employed as a result of the policy and output would increase.

Hope This Helps :)

8 0
3 years ago
As of December 31, 2020, Gill Co. reported accounts receivable of $216,000 and an allowance for uncollectible accounts of $8,400
melamori03 [73]

Answer:

$6,574

Explanation:

Allowance for uncollectible accounts is a contra asset account and it has credit nature. It needs to be debited to decrease the balance and credited to increase the balance. Balance of this account is adjusted in the account receivable to report the net receivable balance in the balance sheet.

As per given data

Beginning allowance for uncollectible accounts balance = $216,000

Write off is the adjustment mad in this account and it needs to be debited in this account, this transaction will reduce the balance.

Adjusted Balance = $8,400 - 7,800 = $600

Account receivable balance = $216,000 + 1,007,800 - $978,000 = $245,800

Estimated allowance for uncollectible accounts balance = $245,800 x 3% = $7,374

As allowance for uncollectible accounts has already have balance of $600, Bad debt expense for the year is $6,574  ($7,374 - $800)

4 0
4 years ago
An investor has sold 1 ABC Jan 50 Call and has bought 1 ABC Apr 60 Call. This is a:________.
Kitty [74]

Answer:

diagonal spread

Explanation:

Spread is basically a sale and purchase of a call. So here the the types of spreads determine the relationship between the strike price and the expiration dates of all options involved in the trade.

In this example investor has sold 1 ABC Jan 50 Call and has bought 1 ABC Apr 60 Call. This means he bought the option ABC with the longer expiration date and with a higher strike price and sold the option ABC with the near expiration date and the lower strike price. Here both the expiration and strike price are different. So this is an example of diagonal spread.

The option horizontal spread is incorrect because it is a spread that depicts the difference in expiration dates but strike price is the same. Here both the expiration and strike price are different.

The option straddle is incorrect because it is a spread in which both options have the same expiry date and same strike price. Here both the expiration and strike price are different.

The option dialogue spread is not a valid option too.

The option Combination is also suitable because this is an example of Combination and combinations include option spread trades such as vertical spreads, horizontal spreads, and diagonal spreads.

So the most suitable option is diagonal spread which is an example of Combination.

5 0
3 years ago
A share of common stock just paid a dividend of $1.00. If the expected long-run growth rate for this stock is 5.4%, and if inves
marin [14]

Answer:

d. $17.57

Explanation:

Please see attachment

6 0
4 years ago
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