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jasenka [17]
4 years ago
9

You’ve observed the following returns on Barnett Corporation’s stock over the past five years: –27.3 percent, 15.2 percent, 33.4

percent, 3.1 percent, and 22.1 percent. The average inflation rate over this period was 3.31 percent and the average T-bill rate over the period was 4.3 percent. What was the average real risk-free rate over this time period?
Business
1 answer:
lilavasa [31]4 years ago
8 0

Answer:

The average real risk-free rate over this time period was 0.96%

Explanation:

According to the given data we have the following:

average inflation rate=3.31%

average T-bill rate=4.3%

Hence, in order to calculate the average real risk-free rate over this time period we can use the fisher equation as follows:

(1 + R) = (1 + r)(1 + h)

= (1.043/1.0331) – 1

= 0.0096=0.96%

Therefore, the average real risk-free rate over this time period was 0.96%.

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Answer:

B) fit for the ordinary purpose for which such goods are used.

Explanation:

An implied warranty of merchantability means that the products sold should fulfill an ordinary buyer's expectations and should be fit for the purpose intended.

All products carry an implied warranty of merchantability unless expressly disclaimed or identified as a sale "with all faults" or "as is".

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3 years ago
John Alex, a business owner, is considering opening a second location of his
4vir4ik [10]

Answer:667

Explanation: un have to added

3 0
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Read 2 more answers
Community Manufacturing Inc. developed the following standard costs for direct material and direct labor for one of their major
hammer [34]

Answer:

Particulars               Standard                           Actual

                      Qty     Rate   Amount       Qty      Rate   Amount

Materials     2,000     26     52,000      2,200     24       52,800

Labor          1,000       14     14,000       1,050     14.75    15,487.50

Actual output                                   10,000.00    

Materials required (10000*0.20) = 2,000.00

Labor hrs required (10000*0.1) =    1,000.00

1. May's direct material price variance

= (SP-AP)*AQ

= (26 - 24*)2200  

= 4,400 F      

2. May's direct material quantity variance

= (SQ-AQ)*SP  

= (2,000 - 2,200)*26

= 5,200 U

3. May's direct labor cost variance

= Standard Cost - Actual Cost

= 14,000 - 15,487.50

= 1,487.50 U

4. May's direct labor rate variance

= (SR-AR)*AH  

= (14 - 14.75)*1,050

= 787.50 U

5. May's direct labor efficiency variance

= (SH-AH)*SR

= (1,000 - 1,050)*14

= 700 U

6 0
2 years ago
Select all that apply. Select the items that describe what most likely happens when the Federal Reserve increases the money supp
11111nata11111 [884]

Answer:

Businesses borrow more money.

Consumption increases.

Explanation:

The Federal Reserve is the body responsible for conducting monetary policy in the US. Monetary policy basically consists of two actions. The increase / decrease in the money supply in the economy and the increase / decrease in the interest rate. These actions may happen together, but they are technically independent.

When the Federal Reserve increases the supply of money in circulation, more money is circulated through loans and personal spending. This is considered a policy of stimulating the economy and can be done independently of interest rate changes, although the reduction of interest is also a stimulus monetary policy that can be done in conjunction with the increase in the money supply.

5 0
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daily enterprises is purchasing a $10 million machine. it will cost $50,000 to transport and install the machine. the machine ha
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The machine's annual depreciation costs are calculated by dividing the machine's purchase price by its installation cost over a 5-year period:Depreciation costs equal (10,700,000 + 56,000) / Number of Years divided by five, or $2,151,200.

The value of a fixed asset less the total accumulated depreciation that has been recorded against it is its depreciated cost. The total amount of capital that is "used up" in a certain time frame, such as a fiscal year, is referred to as the depreciated cost in a broader economic sense. The accuracy with which depreciation is calculated allows one to assess patterns in a company's capital expenditures and how aggressive its accounting practices are. The terms "salvage value," "net book value," and "adjusted cost base" are all synonyms for "depreciated cost." Businesses and private individuals can calculate an asset's useful worth using the depreciated cost technique of asset appraisal.

learn more about depreciation costs here:

brainly.com/question/24297521

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7 0
1 year ago
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