Answer:
D. The two assets have the same coefficient of variation.
Explanation:
the coefficient of variation = standard deviation / mean
- the coefficient of variation of the stock = 20% / 12% = 1.67
- the coefficient of variation of the treasury bonds = 15% / 9% = 1.67
As a general, the lower the coefficient of variation, the more exact is the estimated return.
The last one that says software error
Answer:
(C) $26,000.
Explanation:
The debit to Finished Goods Inventory to record the completion of Job XX4 is the total cost for Job XX4 completion;
The job cost sheet showed $8,000 in direct labor at a rate of $20 per direct labor hour, then the total labor hour taken is 400 hours (= $8,000/ $20)
Factory overhead is applied at $30 per direct labor hour, then the total overhead is $12,000 (= 400 hours x $30 per hour)
The total cost = direct materials + direct labor + overhead = $6,000 + $8,000 + $12,000 = $26,000
Answer:
The $900,000 should be capitalized in the government-wide statements
Explanation:
The amount which is to be capitalized in the financial statement should be an asset or an expense that is not showing in an income statement.
In the given question, the construction cost of a new storage facility is $900,000 plus it has $25,000 interest on short term notes.
So, $900,000 should be capitalized, and $25,000 would not be capitalized because it is of short term period which is shown in the income statement.