Answer:
The portfolio SD is A. 20.65%
Explanation:
The standard deviation tells the total risk (both systematic and unsystematic) associated with a stock or a portfolio. The portfolio risk or the standard deviation of portfolio can be calculated using the following formula as attached in the picture below.
Using this formula, the standard deviation of the portfolio is:
SDp = √(0.3)² * (0.2)² + (0.7)² * (0.25)² + 2 * (0.3)*(0.7) * 0.4 * (0.2)*(0.25)
Portfolio SD = 0.20645 or 20.645% rounded off to 20.65%
Answer:
Annual depreciation = $44,400
Explanation:
Given,
Purchase price of the delivery van = $111,000
Salvage value = $11,400
Useful Life = 5 years
We know that
annual depreciation under double declining balance (%) = (100%/useful life)*2
Putting the value in the formula, Annual depreciation (%) = (100%/5)*2
= 40%
Annual depreciation = Purchase Price*Percentage of annual depreciation
Annual depreciation = $111,000*40% = $44,400
Answer:
C) has no effect on Carr's earnings and profits for federal income tax purposes.
Explanation:
A stock dividend means that the corporation issues its existing shareholders more stock.
In essence, the corporation is merely diluting the proportional ownership interest of existing shares.
This has no effect on the corporation's earnings and profits for federal income tax purposes.
Therefore, the dividend has no effect on Carr's earnings and profits for federal income tax purposes.
<span>the exclusive possession or control of the supply or trade in a commodity or service.</span>
Answer:
D. $3240000.
Explanation:
Particulars Amount ($) Amount ($)
Direct materials used 1,880,000
Direct Labor 760,000
<u>Manufacturing Overheads </u>
Factory Utilities 150,000
Indirect Labor 50,000
Factory Depreciation <u>400,000</u> <u>600,000</u>
Total Manufacturing cost <u>$3,240,000</u>