Answer:
B. Institute of Management Accountants (IMA)
Explanation:
B. Institute of Management Accountants (IMA)
The Institute of Management Accountants is an institute where individuals are taught courses in accounting, financial accounting, management accounting, business studies, economic laws etc. This institute prepares the person to have professional study of all the managerial accounting practices involving different fields of study. There are three basic stages, the first is the operational level, then the managerial level and the third is the strategic level. At each level a competitive exam is held to ensure the learning of accurate and high structured policies among emerging accounting managers.
It is a member of different international accounting bodies and firms .
Answer:
Reward to risk ratio = (Expected return - Risk free rate) / Beta
Reward to risk ratio of Y = ( 0.145 - 0.056) / 1.2
Reward to risk ratio of Y = 0.089 / 1.2
Reward to risk ratio of Y = 0.0741666
Reward to risk ratio of Y = 7.42%
Reward to risk ratio of Z = (0.093 - 0.056) / 0.7
Reward to risk ratio of Z = 0.037 / 0.7
Reward to risk ratio of Z = 0.0528571
Reward to risk ratio of Z = 5.29%
Security market line (SML) reward-to-risk ratio is the market risk premium itself which is 6.6%.
Stock Y has a reward-to-risk ratio that is higher than the market risk premium, it is currently under-valued in the market. Similarly, since stock Z has a reward-to-risk ratio that is lower than the market risk premium, it is currently over-valued in the market.
Answer:
Spillover cost.
Explanation:
Spillover cost refers to those costs or changes in the value of a certain good that are caused by issues external to the intrinsic characteristics of said good. Thus, for example, external influences such as limitations on oil extraction or the development of electric cars can generate a massive drop in the prices of conventional gasoline cars. Another clear example of this situation is the one described in the question, where a negative change in a certain neighborhood can lower the prices of the houses found there.
Answer:
- 3.21%
Explanation:
In this question, we use the PV formula which is shown in the spreadsheet.
The NPER represents the time period.
Given that,
Future value = $1,000
PMT = 1,000 × 5% = 50
NPER = 34 years - 1 year = 33 year
Rate of interest = 9%
The formula is shown below:
= -PV(Rate;NPER;PMT;FV;type)
So, after solving this, the present value would be $581.42
Now the return would be
= Sale price + interest - purchase price
= $581.42 + $50 - $652.39
= -$20.97
And, the total return would be
= Return ÷ purchase price
= -$20.97 ÷ $652.39
= - 3.21%
