Answer: c) $7,535
Explanation:
The Collection Float refers to the time that it takes for a deposited check to become available to the account owner after the check has been deposited.
The Average amount is calculated thus;
= No. of payments * Clearing days * average value of payment
= 138 * 1.3 * 42
= $7,535
Answer:
Reward-to-risk ratio Y =7.54%
Reward-to-risk ratio Z = 5.43%
Since the SML reward-to-risk is 6.8%
Stock Y is Undervalued
Stock Z Overvalued
Explanation:
Calculation for the reward-to-risk ratios for stocks Y is 7.54% and Z is 5.43% respectively.
Reward-to-risk ratio Y = (15.3%-5.5%)/1.3
Reward-to-risk ratio Y =7.54%
Reward-to-risk ratio Z = (9.3%-5.5%)/0.7 =
Reward-to-risk ratio Z = 5.43%
Therefore the reward-to-risk ratios for stocks Y and Z are and percent, respectively
Since the SML reward-to-risk is 6.8%
Stock Y is undervalued while Stock Stock Z on the other hand is overvalued reason been that
Reward-to-risk ratio Y is high while the Reward-to-risk ratio is low .
Answer:
Selling through a consignment shop
Explanation:
Structural holes refer to a situation in which parties in a network are not able to interact.
A consigment shop is a store where you can take things to sell and the owner decides a price to pay and then, the objects are sold to someone else at a higher price and the owner gets a profit.
eBay is an online shopping site that allows people to sell things directly to buyers.
According to this, the answer is that the method of selling that can be argued to have more structural holes is selling through a consignment shop because buyers can't negotiate directly with the sellers which they can do in eBay.
