The correct answer should be d. the cost of groceries
Since the most correct answer would be production costs, in this case, the cost of groceries is the production cost as it is the cost of what you need for production.
Answer: C. II and III
Explanation:
Under the Security Act of 1933, new corporate bond issues of such high amounts are not exempt from the Act and so need to be registered with the Securities and Exchange Commission (SEC).
Also, as the amount exceeds $50,000,000, the issue is subject to the Trust Indenture Act of 1939 which states that the issuer should include certain protective provisions that are recommended by the SEC in order to protect bondholders. The adherence to these covenants will then be monitored by an independent trustee that is to be appointed by the Issuer.
Answer:
C. Less than the variance of each asset, except when the two assets are perfectly positively correlated.
Explanation:
In diversification, there is the less risk in the portfolio that can be determined by the standard deviation. Also the risk can decrease at the time when the asset is lower than the perfect correlation and the same should be place in portfolio. Now if the asset along perfect positive correlation place in the portfolio so the the portfolio risk could be large than the risk of the individuals assets
Answer:
Controlling is the process of assuring actual activities conform to planned activities with five examples are discussed below in details.
Explanation:
Planning and controlling are intimately associated. Controlling is further pervasive than planning. Controlling benefits managers observe the effectiveness of their planning, formation, and managing activities. It not only assists in maintaining a record on the development of activities but also guarantees that activities adhere to the measures set in approach so that organizational aims are achieved.
Answer: B. stockholders expropriate value from bondholders by selecting high-risk projects.
Explanation:
Bankruptcy simply means when an individual or business cannot pay back the funds that is owed to the creditor. When bankruptcy is declared by a particular business, the assets for the business are used in paying back the debt.
One of the indirect costs of bankruptcy is the effect that a potential bankruptcy has on the firm's decisions. The general result is that stockholders expropriate value from bondholders by selecting high-risk projects.
Therefore, option B is the answer.
