Macro events only are reflected in the performance of the market portfolio because the specific risks have been diversified away.
A market portfolio is a theoretical bundle of investments that consists of each kind of asset to be had within the investment universe, with each asset weighted in proportion to its total presence in the market. The predicted return of a market portfolio is equal to the expected go back of the market as a whole.
The market portfolio is a basket of assets created by an investor the use of varied set of investments. The basket can encompass securities like pension plans, mutual funds, shares, actual property, bonds, foreign currencies, and assets like silver, gold, coins, bitcoins to call some.
The basic expected return method includes multiplying every asset's weight in the portfolio via its anticipated return, then including all the ones figures together. In different words, a portfolio's anticipated return is the weighted average of its personal components' returns.
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Answer:
C. $ 32,742
Explanation:
The cost per equivalent unit were $ 1.35 for direct materials and $ 5.20 for conversion costs.
The Ending Work In Process has Equivalent Units 9000 complete as to materials and 44% complete as to Conversion Costs.
So the costs will be
Materials = 9000 *100% * $ 1.35 = $ 12150
Conversion = 9000 * 44% * 5.20 = $ 20592
Total Costs $ 32742
The Ending Work in Process costs are found by multiplying the unit costs with the Equivalent number of units multiplied with the percentage of completion.
Answer:
2014 36,000
205: 24,000
Explanation:
500,000 x 12% = 60,000 construction realted per year
Capitalize:
timeline:
<--/--/--/--/--/--/--/--/--/--/--/--/-->
each month the company is doing an spending related to the construction. We must capitalize based on the amount investment.
The first month capitalize throught the whole year,
the second month 11 months
the third for 10 months and so on.
Therefore, the capitalize amount will be half of the cost of the year
2014: interest capitalized through the cost of construction
600,000/2 x 12% = 36,000
400,000/2 x 12% = 24,000
That's the maximum amount we can capitalize for construction.
$110,000 revenue will Saar recognise in 2021 under this arrangement
Solution:
First, in exchange for $100,000
Second, in exchange for $90,000
Saar provides Kim with a three-year right to market Kim's financial advisory services under the name of Saar Associates , Whereas to calculate the revenue : 
= 
( 90,000)
So , 100,000 + 10,000 = 110,000
