Answer:
E.In equilibrium, the expected return on Stock A will be greater than that on B.
Explanation:Beta is a measure used in the stock marketing to describe how volatile a stock is compared the the overall market. A stock with a Beta greater than one signifies that a share is more volatile than the overall market, while a Beta less than one signifies that the market is more volatile than the stock.
IN EQUILIBRIUM, STOCK A WITH A BETA GREATER THAN ONE WILL BE MORE PROFITABLE AND GENERATE MORE INCOME THAN STOCK B WHICH HAS A LOWER BETA THAT IS LESS THAN ONE.
Answer:
Invest $990,099 U.S
Explanation:
The interest rate is 2% for US dollars and 1% for euro
The exchange rate is 1.25 dollars to a euro.
To calculate future exchange rate:
1.25dollars (1+exchange rate of us/1+ exchange rate of euro)
= 1.25(1.02/1.01)
= 1.2625
Approximately 1.26
After a year they will be getting .26 million dollars.
They need to invest something close to this amount 1.2/1.02
Therefore option b is the best answer
Answer: $380 million
Explanation:
To solve the question, first we have to calculate the depreciation that'll be reported for each year and this will be:
= $1140 million/3 years
= $380 million
Then, the deferred tax liability related to the excess depreciation will be:
= ($380 million × 30%) + ($380 million ×
35%) + ($380 million × 35%)
= $114m + $133m + $133m
= $380 million
Answer:
Assets: 180,000
Explanation:
Accounting Equation Formula:
Assets = Liabilities + Owner's Equity
The accounting equation shows which resources the company has for the development of its activities and how they are financed. Assets are those mentioned resources, such as cash, bank accounts, inventory, etc. Those assets can be financed by external or internal sources. Liabilities represent external sources, which means, obligations. Instead, Owner's Equity represents internal sources, which means issuing equity shares. As every resource have to be finance either external or internally, the value of the Asset should match the add of Liabilities and Owner`s Equity.
