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3 years ago

Arrange the types of investments in the correct order from the least risky to the most risky investment.

1 answer:

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Bonds will be the least risky since there is no risk involved at all. Bonds give out guaranteed payments and A rated bonds will be even more secure.

The next would be property. Since property is a physical asset, the risk involved is relatively lower than stocks.

The next would be retirement plans which would typically have bonds and stocks.

The most risky would be speculative stocks.

The order from least risky to most risky would be:

1. A rated bonds

2. Property

3. Retirement plans

4. Speculative stocks

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Depreciation: Is the process of allocating to expense the cost of a plant asset. Measures the decline in market value of an asse

Bess [88]

Answer:

A. Is the process of allocating to expense the cost of a plant asset.

Explanation:

Depreciation can be defined as a process in which the monetary or financial value with respect to an asset decrease or falls over time as a result of wear and tear.

Depreciation is the process of allocating to expense the cost of a plant asset.

7 0

3 years ago

Bedford had this info at the end of 2015, its first year of operations: No other permanent or temporary differences exist. The l

Alex73 [517]

Answer: $150,000

Explanation:

Seeing as the litigation expense will only be paid in 2018, it should be added back to income for 2015.

= 900,000 + 100,000

= $1,000,000

As the depreciation will reverse evenly over the next three years and with future income probable, it should be removed from income.;

= 1,000,000 - 300,000

= $700,000

Municipal Bonds have the advantage of being Tax-exempt so their interest income should be removed to calculate how much tax should be paid.

= 700,000 - 200,000

= $500,000

2015 Income Tax Payable = 500,000 * 30%

= $150,000

5 0

3 years ago

Cheyenne Corp. purchased a piece of equipment for $58,800. It estimated a 9-year life and $3,400 salvage value. At the end of ye

bogdanovich [222]

Answer:

the revised depreciation is $ 3,753

Explanation:

<em>Straight Line Method of Depreciation charges the same amount of depreciation over the useful life of the asset.</em>

Depreciation Charge (Straight line) = (Cost - Salvage Value) / Useful life

Year 1

Depreciation Charge = ( $58,800 - $3,400) / 9 years

= $6,156

Year 2

Depreciation Charge = $6,156

Year 3

Make the adjustment as if the adjustment happened at the beginning of the year

Make the following changes

(1) Adjast the Depreciable Amount (numerator)

(2) Adjast the Useful life (denominator) to 11 years

Depreciation Charge = (Cost - Previous Depreciation Charges - New Residual Value) / Revised Number of Useful life

Depreciation Charge = ($58,800 - $6,156 - $6,156 - $5,200)/ 11 years

= $ 41,288/ 11 years

= $ 3,753

5 0

3 years ago

How many free credit reports are you legally entitled to each year

Leokris [45]

<span>One from each credit bureau per year, so in total three per year.</span>

8 0

3 years ago

Everything else held constant, an increase in the excess reserves ratio causes the m1 money multiplier to ________ and the money

Cloud [144]

The M1 money multiplier decreases and the money supply decreases when the required reserve ratio on checkable deposits rises, all else being equal.

<h3>What is the reserve ratio?</h3>

The percentage of deposits that commercial banks must retain in cash under the guidance of the central bank is known as the cash reserve ratio.

<h3>How is reserve ratio determined?</h3>

The country's central bank, in the instance of the United States, the Federal Reserve, determines the reserve ratio requirement.
The calculation for a bank can be obtained by dividing the bank deposits by the cash reserve held with the central bank, and it is expressed as a percentage.

<h3>What is an example of the reserve ratio?</h3>

The required reserve ratio is directly correlated to how much a bank expands the money supply. For instance, if a bank has deposits totaling $1,000,000 and a reserve ratio of 10%, it can lend out $900,000.

learn more about reserve ratio here

<u>brainly.com/question/13758092</u>

#SPJ4

4 0

2 years ago