Answer:
3.4%
Explanation:
According to the capital asset price model: Expected rate of return = risk free + beta x (market rate of return - risk free rate of return)
9.7 = 5.2 + 1.34(x - 5.2)
9.7 - 5.2 = 1.34(x - 5.2)
3.35 = x - 5.2
C! service producing industries.
Answer:
retail charge cards
Explanation:
A credit card can be defined as a small rectangular-shaped plastic card issued by a financial institution to its customers, which typically allows them to purchase goods and services on credit based on the agreement that the amount would be paid later with an agreed upon interest rate.
Hence, the use of credit cards by consumers broadens a small company's customer base.
This ultimately implies that, small businesses or companies who avail their customers the opportunity to pay using a credit card will increase the number of customers that would patronize them because they are typically buying the goods and services on credit.
Generally, there are three (3) main types of credit card and these includes;
I. Debit card.
II. Prepaid card.
III. Retail charge cards.
A retail charge card can be defined as a type of credit card commonly issued by retailers to their customers in order to avail the customers an ability to charge their goods and services to a specific amount that has been established prior to a purchase.
Hence, it is most common in merchant department, car rental firms, oil companies, clothing stores and other high-volume outlets, where customers are likely to make several purchases each month.
Answer and Explanation:
1. The computation of the total annual cost in each case is shown below:
Total annual cost = Annual fee + license per tax return × number of returns filed
a. For 332 returns
= $403 + $11 × $332
= $403 + $3,652
= $4,055
b. For 424 returns
= $403 + $11 × $424
= $403 + $4,664
= $5,067
c. For 522 returns
= $403 + $11 × $522
= $403 + $5,742
= $6,145
2. Now the cost per return is
Cost per return = Total annual cost ÷ number of returns filed
a. For 332 returns
= $4,055 ÷ 332 retunrs
= $12.21
b. For 424 returns
= $5,067 ÷ 424 returns
= $11.95
c. . For 522 returns
= $6,145 ÷ 522 returns
= $11.77
Answer:
$5,400
Explanation:
Calculation to determine the estimated average income
Using this formula
Estimated average income=Expected total income yield/Useful life
Let plug in the formula
Estimated average income= $21,600 ÷ 4
Estimated average income= $5,400
Therefore the estimated average income is $5,400
