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bagirrra123 [75]
3 years ago
5

Why doesn't the theory of averages work for investing in the dow jones industrial average or the standard & poor's 500-stock

index?

Business
1 answer:
Juli2301 [7.4K]3 years ago
8 0
Pls. see attachment. I found this explanation that sufficiently answers the above question.

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According to Levitt, which of the following statements is true? A. Technology drives the world toward a converging commonalty B.
trapecia [35]

Answer:

the correct option is A) According to Levitt, Technology drives the world toward a converging commonalty.

Explanation:

Levitt's Thesis states that "a dominant force drives the world towards a converging commonality, allowing international businesses to become global by standardizing their product and service offering".

One of the main forces he identified was technology.

It has become very evident that Technology is an essential force that drives the modern form of business globalization because technology has helped overcome major barriers to trade in the international scene by introducing standardized processes and global quality assurance.  

It has also eliminated delays in information exchange, created a virtual market and ease of interaction between countries making international business processes cost effective and efficient.

8 0
3 years ago
Bill owns a company called Wild Bill's Bracelets that sells custom jewelry. He launched a Search campaign to drive sales of his
Andreas93 [3]

Answer:

d) He can use brand-specific search terms.

Explanation:

Search campaigns and all search engines work based on of keywords. Search engines generate results with adequate and relevant keyword input.

So, if Bill wants his Search campaign to be the most effective, he has to strategically pick the keywords that will result in his brand showing up in the Google search results. This concept is related to SEO (search engine optimization), with the whole discipline working with the adequate choice of keywords that result in more customer searches.

8 0
3 years ago
.) A currency dealer has good credit and can borrow either $1,000,000 or €800,000 for one year. The one-year interest rate in th
d1i1m1o1n [39]

Answer:

The question does not fit the options, since the options all refer to a 2% interest rate in US dollars and a 6% interest rate in euros. While the question states that the interest rate in US dollars is 5% and the interest rate in euros is 4%.

The answer to the question is:

If you borrow $1,000,000 today, you will be able to purchase 800,000€. Or if you borrow 800,000€ today, you will be able to purchase $1,000,000.

Since the forward rate is higher, you should borrow dollars, invest in euros and after a year, purchase back dollars and pay back your debt.

Gain:

= 800,000€ x 1.04 = 832,000€ x 1.4 = $1,164,800, then you pay back your loan = $1,164,800 - ($1,000,000 x 1.05) = $1,164,800 - $1,050,000 = $114,800 gain

Options C will also yield gains:

option C = borrow 800,000€ and buy $1,000,000. After one year you will have $1,020,000 which you can use to purchase 850,000€. Your gain = 850,000€ - (800,000€ x 1.06) = 2,000€

7 0
3 years ago
Which phrase describes an unsolicited proposal?
mezya [45]

Answer: D.) not requested by the audience

Explanation: An unsolicited proposal simply means a proposal which is not based on request by the audience or the company it is being addressed to. It involves a written application aimed at obtaining a contract or work placement in an agency when such agency or organization without any formal request or call for application by the agency or organization. Unsolicited proposal are usually written in other to inform an agency that the writer is capable of offering solution to a problem within the agency or industry using his or own innovative idea.

4 0
3 years ago
MOSS COMPANY Selected Balance Sheet Information December 31, 2018 and 2017 2018 2017 Current assets Cash $ 90,650 $ 32,800 Accou
Andru [333]

Answer:

 $65,250

Explanation:

The preparation of the Cash Flows from Operating Activities—Indirect Method is shown below:

Cash flow from Operating activities - Indirect method

Net income $5,000

Adjustment made:

Add : Depreciation expense $48,000

Add: Decrease in accounts receivable $13,000 ($31,000 - $44,000)

Less: Increase in inventory -$10,700 ($66,000 - $55,300)

Add: Increase in accounts payable $10,700 ($42,400 - $31,700)

Less: Decrease in income tax payable-$750  ($2,650 - $3,400)

Total of Adjustments $60,250

Net Cash flow from Operating activities                       $65,250

8 0
3 years ago
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