Answer:
B.
Explanation:
The table shows data from 2000 to 2017. To get the average I sum all of the percentages and divide it by 18 because is the number of observations i have. I got an average of 10.48% and if we round it, we got 10.5% of GDP that government collect through taxes.
What you’re talking about is Beta. Beta is the ratio of how much a stock changes relative to the market as a whole (NYSE, NASDAQ)
A Beta of 2.0 means it changes (up/down) twice as much as the general market (Dow, S & P, NAS), such as the twitchy, hyper reactive tech stocks ( FAANG’s and also boom-or-bust Big Oil). In other words, high Standard Deviations.
A Beta of 0.5 means it changes (up/down) half as much as the general market. Sleepy blue chips such as GE, AT&T or power utilities fall in that category. Low Standard Deviations
Most stocks by definition pretty much track the market (Beta 1.0) so there are a lot of those. Middling Standard Deviations
So…it is dictated by your risk tolerance.
Answer: b. The Rational Basis test
Explanation:
The Rational Basis test allows for a court of law to scrutinize a Government law or regulation to determine if it violates the principles of the Equal Protection clause which holds that people in a jurisdiction are entitled to equal protection under the laws of the jurisdiction.
The Rational Basis clause is usually applied to economic and business laws Instituted by a government and for this reason and the previously mentioned must be the standard that the court applied in finding out if Nordlinger was in the right.
Answer:
The maximum that should be paid for this stock today is $9.83
Explanation:
The price of a stock whose dividends are expected to grow at a constant rate forever can be calculated using the constant growth model of DDM. The model bases the price of a stock on the present value of the expected future dividends. The formula for price today under this model is,
Price = D1 / r - g
Where,
- D1 is the dividends expected for the next period or D0 * (1+g)
- r is the required rate of return
- g is the growth rate in dividends
Price = 1.23 * (1+0.031) / (0.16 - 0.031)
Price = $9.83
Answer:
The correct answer is a. has no incentive to hold costs down.
Explanation:
Given that in the natural monopoly there is no competition for the characteristic that we have as a company to offer our products at a lower price and with highly competitive quality, then the direct question of pricing will not have really in-depth studies that take into account the competitors' behavior in order to establish direct incentives. Its fixing method is basic and strictly depends on internal issues such as the expected profitability margin, supply, demand and production process.
