Answer:
$3,130,000
Explanation:
Net operating income = Total revenue - Total cost
Total revenue = price x quantity = $9,500 x 400 = $3,800,000
Total cost = $670,000
Net operating income = $3,800,000 - $670,000 = $3,130,000
I hope my answer helps you
Answer:
Variable
Explanation:
Given that, Variable is defined as a mathematical term that is often time used in business operation as well, to describe a form of value or cost that is not stable or permanent, which can change over a given period of time.
Hence, in this situation, the correct answer is " a VARIABLE is a measure, such as a price or quantity, that can take on different values at different times.
False, only shows transactions and amounts owed.
Answer:
e) 3.38%
Explanation:
In this question, we apply the Capital Asset Pricing Model (CAPM) formula which is shown below
Required rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)
For A
= 4.25% + 0.70 × (11.00% - 4.25%)
= 4.25% + 0.70 × 6.75%
= 4.25% + 4.725%
= 8.975%
For B
= 4.25% + 1.20 × (11.00% - 4.25%)
= 4.25% + 1.20× 6.75%
= 4.25% + 8.1%
= 12.35%
So, the difference would be
= 12.35% - 8.975%
= 3.375%
The (Market rate of return - Risk-free rate of return) is also known as market risk premium
