Answer:
The company paid in dividends the same amount of the Net Income of the Year 2018
Explanation:
If the company keeps the retained gains at zero balance it means that each dollar the company gains during the year it's paid in dividends.
During the year the company gain money from its operations, the total Profit or Losses are reflected in the Financial Statements, if the company gains money and the Retained Earnings are zero, it means each dollar is paid in dividens, the amount available to paid is the Net Income of the Income Statement.
Medical coverage on an auto insurance policy covers Medical bills for yourself and anyone else in your car in case of an accident
<h3>WHAT IS MEDICAL COVERAGE </h3>
Medical coverage is a type of insurance that protects the occupants in a car against medical bills should accidents occure irrespective of who caused it.
Medical coverage of an auto insurance ensures that medical expenses are covered in cases of an accident.
Learn more about medical coverage at brainly.com/question/3545635
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Answer:
Bonds
Explanation:
Bonds fit all of Marlon's needs since:
- He can know the interest rate up front, e.g. the coupon rate of the bond, or the market rate if the bond is purchased at a premium or discount.
- Some bonds have a very remote maturity date, up to 30 years (e.g. US securities) and that is a long period of time.
- Even though Marlon can cash his money before the bond matures (he can sell them), it is something that takes a few days and must be done by a broker.
- Bonds are very secure investments, specially US securities which are considered the most secure investment in the world, but even corporate bonds are considered secure. In case the firm goes is liquidated, bondholders receive their money before preferred stockholders and common stockholders.
Answer:
E. The slope of the security market line is equal to the market risk premium
Explanation:
Option A is incorrect because the equity beta is different of two securities though it has same risk level this is because the beta equity is affected by the gearing of the firm
Option B is also incorrect because the beta reflects the risk that is un-diversifiable. Always remember that Capital asset pricing model says that the investor are compensated for the risk that is un-diversifiable which is the business systematic risk.
Option C is also incorrect because the diversifiable risk can be diversified completely by investing in stock of companies of more than 40 industries.
Option D is also incorrect because the lower beta shows lower risk level of the investment and higher risk level indicates higher risk levels.
Option E is correct because the slope indicates the risk premium on the investment and the intercept indicates the risk free investment.
