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almond37 [142]
3 years ago
5

When estimating the cost of equity by use of the CAPM, three potential problems are (1) whether to use long-term or short-term r

ates for rRF, (2) whether or not the historical beta is the beta that investors use when evaluating the stock, and (3) how to measure the market risk premium, RPM. These problems leave us unsure of the true value of rs.
A. true
B. false
Business
1 answer:
Lubov Fominskaja [6]3 years ago
6 0

Answer:

The correct answer is A. true.

Explanation:

The cost of capital is a little less unique than the cost of debt. Equity is any financing raised through the sale of shares. Different people have different ways of measuring equity.

Some people prefer to simply use the CAPM or some other form of APT, estimating the cost of capital as an amount equivalent to the risk premium on the returns paid by the company to its investors. In this way, the returns generated in excess of the risk-free rate are considered the cost of equity.

This calculation is easy to use, but also takes into account the fluctuations in the value of the shares in the secondary market, which really has no cost to the company. Some people argue their benefits.

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Based on the lesson and your research, how would you fund a four-year college degree? In two to three sentences, explain your ch
LekaFEV [45]
You can fund a four-year college degree by either of the following:

1. Loans
Loans can be acquired through federal aid or private means. They must be paid back with interest when the student has graduated. They are guaranteed by the federal government.

2. Scholarships
Scholarships depends on criterias from who will sponsor it. These criterias may include financial need, merits, field of study, etc. There are those who can help students look for a scholarship that fit them like counselors, the government or its agency, community organizations, etc.

3. Work-study programs
They operate with the financial aid office of the school. However, they require the student's determination and financial needs. 
9 0
4 years ago
Read 3 more answers
During 2017, Ziplock Manufacturing expected Job No. 89 to cost $700,000 in overhead, $1,000,000 in direct materials, and $500,00
irga5000 [103]

Answer:

a. not able to be determined from the provided information.

Explanation:

For determining the over applied or under applied, first, we have to compute the predetermined rate based on the direct material cost which is  

= $700,000 ÷ $1,000,000

= $0.70

Now the applied overhead is  

= $0.70 × $1,200,000

= $840,000

And, the actual overhead amount is not given by which we can find out the underapplied or overapplied overhead amount

So, in this case, the correct option is a.

7 0
4 years ago
After the accounts are adjusted and closed at the end of the fiscal year, accounts receivable has a balance of $340,000 and allo
bija089 [108]
340,000-51,000=$289,000
3 0
3 years ago
Can I have a short 150 words paragraph about following?
hichkok12 [17]

Answer:

Explanation:

GDP is used to measure the Economic welfare or standard of living in the people when it is measured per capital terms. The short coming with GDP is that it does not show the true economic welfare or standard living of people in the society as GDP is calculated as whole for whole population prevalipre in the country which includes all level of income people. In any country there will be rich , poor and middle class.

Using GDP for finding social welfare it tells whether the country standard of living is increasing or not but it will not tell specially abpab poor and middle class. Any country standard of living goes up only if the poverty in the country eradicate. Thus GDP have a short coming of not finding the true social welfare or standard of living which is in the society.

There is nothing we can do to find the exact condition of society but government can implement policies to provide a better living for people who are in poverty.

5 0
4 years ago
Would giorno Giovanna be able to defeat jotaro kujo.....explain
Softa [21]

Answer:

None can beat Giorno but Jesus. Bc, he can prob use his powers to give himself the world over heaven. Giorno Giovanna of both the Brando and Joestar bloodlines is the protagonist of part 5 of Jojo's Bizarre Adventure, entitled Golden Wind. Jotaro Kujo may be the most popular JoJo to come out of JoJo's Bizarre Adventure, but he's hardly the strongest. That honor belongs to none other than Giorno Giovanna, the protagonist of Part 5 Vento Aureo, otherwise known as Golden Wind.

Explanation:

6 0
3 years ago
Read 2 more answers
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