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Mariulka [41]
2 years ago
15

Which one of the following represents the amount of compensation an investor should expect to receive for accepting the unsystem

atic firm-specific risk associated with an individual security?A. Security beta multiplied by the market rate of returnB. Market risk premiumC. Risk-free rate of returnD. Zero
Business
1 answer:
Evgesh-ka [11]2 years ago
8 0

Answer:

The correct answer is letter "D": Zero.

Explanation:

While dealing with an asset out of an unsystematic firm-specific risk <em>there is no compensation to expect</em> from a firm since it is the individual who is taking the risk in trading that asset. All responsibility relies on the individual's strategy when placing a transaction but the firm does not have any responsibility for having the individual accept that security.

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Roadway Corporation produces a special line of plastic toy racing cars. Roadway Corporation , produces the cars in batches. To m
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the efficiency variance for variable overhead setup costs is $4,810 favorable

Explanation:

The computation of the efficiency variance for variable overhead setup costs is shown below;

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2 years ago
What is the end product of the accounting process?
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3 years ago
2. From 4 E's to addressing corporate strategy, provide four examples from each of the 4E's of known big companies adopting thes
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2 years ago
On January 1, 2021, Farmer Fabrication issued stock options for 100,000 shares to a division manager. The options have an estima
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Answer and Explanation:

The journal entries are shown below:

1. The revised estimated amount of total compensation is

= 100,000 shares × $6

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2. The action shows that the Farmer Fabrication cumulative effect for the year 2022 earnings            

3. The journal entries are shown below:

For the year 2022

Compensation expense

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The computation is shown below:

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7 0
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