Answer:
The beta coefficient for Stock L that is consistent with equilibrium
Explanation:
According to Capital Asset Pricing Model, the formula to compute expected rate of return is equals to
Expected rate of return = Risk free rate of return + Beta × (Market risk - risk free rate of return)
where,
rRF = risk free rate of return
rM = market risk
Stock L that is consistent with equilibrium is expected rate of return which equals to = 9.25%
So,
9.25% = 3.6% + Beta × (8.5% - 3.6%)
9.25% = 3.6% + 4.9% Beta
9.25% - 3.6% = 4.9% Beta
5.65% = 4.9% Beta
Beta = 5.65% ÷ 4.9% = 1.15
Hence, the beta coefficient for Stock L that is consistent with equilibrium is 1.15
Answer: The introduction of middlemen in business models is an example of REINTERMEDIATION.
Explanation: REINTERMEDIATION can be defined as the introduction of an agent acting as a mediator between a producer and the consumer.
An example can be a bakery that sells products directly adding retailer to help in the sale of their products. Which is also the case in the question whereby the travel websites are the intermediary between the airlines and the customers.
Answer:
Profit, in accounting, is an income distributed to the owner in a profitable market production process (business). Profit is a measure of profitability which is the owner's major interest in the income-formation process of market production. There are several profit measures in common use.
Income formation in market production is always a balance between income generation and income distribution. The income generated is always distributed to the stakeholders of production as economic value within the review period. The profit is the share of income formation the owner is able to keep to themselves in the income distribution process. Profit is one of the major sources of economic well-being because it means incomes and opportunities to develop production. The words "income", "profit" and "earnings" are synonyms in this context.
Answer: customer's beginning tax basis = $10,000
Explanation:
Customer's beginning tax basis are the initial cost of the partnership for commission legal and organizational fees and these are not deductible from the cost basis.
Given: A customer subscribes to a $10,000 limited partnership interest.
That means initial cost = $10,000
So, the customer's beginning tax basis = $10,000
They can set good examples of people who practiced savings and the result it gave them. Provide seminars of the results and actual computation of savings through targeted years and the possible assets that they may possess through savings. It can also help them avoid some financial problems that they might encounter.
