Answer:
The difference between A and B Required Rate of Return is 3.38%
Explanation:
As we know that required rate of return we use CAPM formula that is
Required rate of return = Rf + (Rm - Rf) x Beta
Stock A Return = 4.25% + (11% - 4.25% ) x 0.70
Stock A return = 8.98%
Stock B Return = 4.25% + (11% - 4.25%) x 1.20
Stock B Return = 12.35%
Difference between Return = Stock B Return - Stock A Return
Difference between Return = 12.35% - 8.98%
Difference between Return = 3.38%
Answer:
Business ricks factors for Poultry industry using PESTEL:
Political : Government imposes ban on hormone injections and artificial feeds.
Economic: Demand is high but supply is insufficient causing rise in prices.
Social: People taste changes and they are switched to beef.
Technological: Genetic manufacturing of eggs incurs high cost.
Environmental: Poultry industry creates smell pollution which can affect nearby societies.
Legal: Contract issues and termination of contract can cause industry failure.
Explanation:
PESTEL analysis is widely used in the business to identify the associated risks with the operations. In the pestel analysis all factors are analyzed in detail. Political, economic, social, technological, environmental and legal factors are analyzed in detail and risks associated with these factors are identified to improve business strategies.
Answer:
The correct answer to the following answer will be Rebating.
Explanation:
Rebating: It is a manner to get potential insurance customers to purchase the insurance product by returning their money to the broker or agent. The insurance company can even offer premium or even donation discounts. Insurance regulators do not find this to be a good exercise since unfair competition can grow and insurance insolvency can occur.
Therefore, Rebating is the correct answer.
Line item veto, its the power to strike out individual items in the state budget
Answer:
Note: The correct option is a. Increase Net Cash from operations.
Explanation:
Note: This question is not complete as the options are omitted. The options are therefore provided to complete the question before answering the question as follows:
a. Increase Net Cash from operations
b. Decrease Net Cash from operations on the Cash Flow Statement
c. No impact on Net Cash from operations
d. Just impact the Balance Sheet
The explanation of the answers is now provided as follows:
Since the assets was purchased early in the year, depreciation will be charged on it in the income statement for the year at the end of the year. Since depreciation is a non-cash item, it will added back to the net income in the indirect Cash Flow Statement method as one of the adjustments to the net income under the Cash from operations. This adding back of the depreciation will therefore lead to an Increase Net Cash from operations.
Therefore, the correct option is a. Increase Net Cash from operations.