Answer:
Interest in 2021=900
Interest in 2022=600
Explanation:
Calculatation of the amount of interest revenue the company will recognize in 2021 2022
Month in 2021 - July To December
Interest in 2021 = 20,000*9%*6/12
Interest in 2021=900
Month in 2022 - January To April
Interest in 2022 = 20,000*9%*4/12
Interest in 2022=600
Therefore the amount of interest revenue the company will recognize in 2021 will be 900 while 2022 will be 600
Question Options:
A. The local government decides that the average commute time is 30 minutes.
B. The local government decides that the data provide convincing evidence of an average commute time higher than 30 minutes, when the true average commute time is in fact 30 minutes.
C. The local government decides that the data do not provide convincing evidence of an average commute time higher than 30 minutes, when the true average commute time is in fact higher than 30 minutes.
D. The local government decides that the data do not provide convincing evidence of an average commute time different than 30 minutes, when the true average commute time is in fact 30 minutes.
Answer: A type 2 error in this context will mean that The local government decides that the data do not provide convincing evidence of an average commute time higher than 30 minutes, when the true average commute time is in fact higher than 30 minutes.
A type 2 error in statistics is defined as a situation where a false null hypothesis is not rejected.
In this question, a false null hypothesis would that the average commute time for the elementary school in the district is higher than the average 30 minutes.
Answer:
A periodic inventory method is a method where the inventory account is adjusted at the end of each accounting period and not continuously as with the perpetual method. All inventory purchased is recorded to a purchases account. Cost of goods sold is calculated by adding purchases to beginning inventory and then subtracting ending inventory. The following journal entries are examples of how to account for inventory under a periodic management method.
explanation:
The reason for risk pooling which is beneficial for the insurance industry is best described as it brings together many individuals' premiums so that there is money to cover a selected few losses.
Option B is the correct answer.
<h3>Who is a policyholder?</h3>
The policyholder is an individual who takes an insurance policy from an insurance company. He pays insurance premiums against their respective policies.
The insurance contract is an agreement between the individuals and insurance company to indemnify them at the happening of the specified event and individuals also agreed to pay the insurance premiums on time. The risk pooling allows the insurance company to get insured many people against a small amount of money called an insurance premium.
Therefore, risk pooling is valuable for the insurance company in respect of the insurance policies.
Learn more about the insurance in the related link;
brainly.com/question/14969988
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Answer:
$109
$118.81
18.26%
Explanation:
Intrinsic value can be determined using the constant growth dividend model
according to the constant dividend growth model
price = d1 / (r - g)
d1 = next dividend to be paid
r = cost of equity
g = growth rate
dividend, growth rate and cost of equity are not given and they have to be calculated
growth rate = retention rate x ROE
Retention rate = 1 - payout ratio = 1 - 0.5 = 0.5 = 50%
0.5 x 18% = 9%
According to the capital asset price model: cost of equity = risk free + beta x (market rate of return - risk free rate of return)
9% + 2x (14% - 9%) = 19%
dividend = payout ratio x earnings per share
0.5 x $20 = $10
Intrinsic value = = $109
Stock price in a year
= 118.81
(dividend return + price return)
price return is the return on investment as a result of appreciation or depreciation of share price
Dividend return is the return on investment from dividend earned
price return = price at the end of the year - price at the beginning of the year