What you’re talking about is Beta. Beta is the ratio of how much a stock changes relative to the market as a whole (NYSE, NASDAQ)
A Beta of 2.0 means it changes (up/down) twice as much as the general market (Dow, S & P, NAS), such as the twitchy, hyper reactive tech stocks ( FAANG’s and also boom-or-bust Big Oil). In other words, high Standard Deviations.
A Beta of 0.5 means it changes (up/down) half as much as the general market. Sleepy blue chips such as GE, AT&T or power utilities fall in that category. Low Standard Deviations
Most stocks by definition pretty much track the market (Beta 1.0) so there are a lot of those. Middling Standard Deviations
So…it is dictated by your risk tolerance.
Answer:
C) $80,000
Explanation:
Since Rose uses the LIFO method for determining COGS, the 10,000 units sold should be recorded at $7.90 (purchase price 1/5).
10,000 units still remain in inventory (8,000 beginning + 2,000 last purchase). Using the LIFO costing method the inventory unit cost should be [(8,000 x $8.20) + (2,000 x $7.90)] / 10,000 = $8.14 per unit
If the replacement cost is $8 per unit, and Rose decides to use lower-of-cost-or-market rule, then she should use the lowest cost which is the replacement cost ($8 < $8.14).
So the ending inventory's total cost is $8 per unit x 10,000 units = $80,000
Explanation:
Menu cost, shoe leather cost, losing money and wealth redistribution from creditors to debtors through inflation.
Most people cut down their spending when they are not making enough money or when there is continuous increase in price, during this period people are mindful of what they spend money on, this will lead to lowered economic growth over a long period of time.
The most important will be the effect of money losing it's value, the fact that money loses its purchasing power which will lead to decrease in demand for goods and services as well as lack of savings will increase the bottleneck on welfare services as people will rely more on them, this will hurt US the most.
Answer:
D) Taxes levied on sellers and taxes levied on buyers are not equivalent.
Explanation:
Whether a tax is levied on the buyer or the seller of the good doesn't matter because they both place a wedge between the price that buyers pay and the price that sellers receive. And that difference will be the same regardless of who is responsible for paying the taxes. E.g. a sales tax is paid by the buyer, but the difference between the money paid and the money received would be the same if the tax was paid by the seller instread.
