Answe and Explanation:
For banks and other financial institutions, the discrepancy between the short-term maturities of their deposits and the long-term maturities of their assets is referred to as _a maturity mismatch___________.
The question is incomplete. Here is the complete question
According to the CAPM, what is the market risk premium given an expected return on a security of 13.6%, a stock beta of 1.2, and a risk-free interest rate of 4%?
Answer:
8%
Explanation:
The expected return on security is 13.6%
The stock beta is 1.2
The risk free interest rate is 1.4
Therefore, using the CAMP , the market risk premium can be calculated as follows
13.6%= 4% + 1.2×MRP
13.6%-4%= 1.2MRP
9.6%=1.2MRP
MRP= 9.6/1.2
MRP= 8%
Hence the market risk premium is 8%
Answer:
With the large increase in financial market uncertainty, the mix between internal financing and external financing for new investment projects will tether towards internal sources of funding.
Explanation:
This means that the larger proportion of finance for new investment projects must come from internal sources rather than external sources. The companies will, therefore, experience much more pressure to generate and retain sufficient profits than it would have experienced otherwise. While this looks like the best way to go, the possibility of success depends on the chunk of the internally-generated funds that the companies already have.
Answer:
Apollo's return on equity is 38.17%
Explanation:
The formula to compute the return on equity is shown below:
Return on equity = Net income ÷ total equity
where,
Net income = $50,000
And, the total equity is
= Common stock + retained earnings
= $10,000 + $121,000
= $131,000
Now put these values to the above formula
So, the value would equal to
= $50,000 ÷ $131,000
= 38.17%
When the price of a good increases, all else the same, then the consumer's total utility will decrease.
<h3>What is utility?</h3>
Utility simply means the satisfaction that's gotten when one consumes a particular product.
In this case, it should be noted that when the price of a good increases, all else the same, then the consumer's total utility will decrease. This is because less products will be bought.
Learn more about utility on:
brainly.com/question/24922430
