Answer: –0.0130
Explanation:
Correlation given the variance and the standard deviation of the two returns can be calculated by;
Correlation coefficient = Covariance of returns on investment A and B / (Standard deviation of return on investment A * Standard deviation of return on investment B).
Rearranging the formula, Covariance becomes;
Covariance of returns on investment A and B = Correlation coefficient * (Standard deviation of return on investment A * Standard deviation of return on investment B)
Covariance of returns on investment A and B = -0.260 * 0.25 * 0.20
Covariance of returns on investment A and B = –0.0130
Answer:
2017 Net Income = $53000
2018 Net Income = $87000
Explanation:
The overstatement of ending/closing inventory causes the Cost of Goods Sold (COGS) to be understated and the Gross and Net profit to be overstated by the same amount.
If the 2017 ending inventory was iverstated by $7000, the correct profit figure for 2017 will be $7000 less than is reported.
2017 correct Net Income = 60000 - 7000 = $53000
An overstatment of ending inventory in one year also means and overstatement of opening inventory of the next year. Thus, the 2018 opening inventory is overstated by $8000 and an overstatement of opening inventory means an overstatement of COGS and an understatement of Gross and Net Income by the same amount.
Thus, the correct Net Income for 2018 = 80000 + 7000 = $87000
Answer:
The Key Concepts of Effective Operations Strategy is explained below in details.
Explanation:
Operations management includes preparation, coordination, and supervising methods, and make significant enhancements for tremendous profitability. The improvements in the everyday operations have to promote the company's strategic purposes, so they are introduced by deep examination and determination of the current processes.
Answer:
d. $50,000,000/$120,000,000
Explanation:
The computation of the correct calculation when the revenue test is satisfied is shown below:
As we can see that the fourth option is correct i.e.
= Asian sales ÷ Total consolidated sales.
= $50,000,000 ÷ $120,000,000
Here the affiliate sales are not relevant so the same is not considered
Hence, the correct option is d.
Answer:
market forces are much stronger than individual firms are
Explanation:
In a competitive market, firms are price takers. They do not set the price for their products. Prices are set by market forces.