Answer: $118,304
Explanation:
Given the following:
End of year cashflow of portfolio is either :
$70000 or $195,000
Probability of either equals = 0.5
With a riskless investment in T-bills of 4% and a risk premium of 8%, then the expected rate of return = 12%
Therefore ;
Amount of portfolio × (1 + expected rate of return) = expected cashflow.
Expected cash flow = probability × end of year cashflow
Expected cashflow = (0.5 × 70000) + (0.5 × 195000)
= 35000 + 97500 = $132500
Therefore ;
Amount of portfolio × (1 + 0.12) = 132500
Amount of portfolio × 1.12 = 132500
Amount of portfolio = 132500/1.12
Amount of portfolio = $118,303. 57
=118,304
Answer:
$117,417
Explanation:
Calculation to Determine the amount to be capitalized in the asset account
Costs that are to be capitalized:
List price $118,660
Less: Discount ($5,043)
($118,660*4.25%)
Freight cost $2,640
Specialist fee $1,160
Total costs $117,417
Therefore the amount to be capitalized in the asset account will be $117,417
Answer:
(A). Federal Administrative Agency
Explanation:
The Securities and Exchange Commission(SEC) is an independent federal government agency responsible for protecting investors, maintaining fair and orderly functioning of the securities market.
The Securities and Exchange Commission was created in 1934 to help restore investor confidence in the wake of the 1929 Stock Market Crash.
The SEC is allowed to bring only civil actions, either in federal court or before an administrative judge.
Most of the administrative agencies are under the supervision of the President. Since SEC is an independent body, the President exercises limited power and control over it. But he does play a major role in influencing the activities of such independent bodies.
Thus, The Securities and Exchange Commission is an example of a Federal Administrative Body i.e option (A).
Dr. Cho should conclude that the growth rate of a specie is still greatly affected by its environment. I think that genetics play a big role, but only in the first few time periods of a life cycle. It is our genetics that tell our physical characteristics such as eye color, hair color, body type or skin tone. But as time progresses and your are exposed to an environment for a long period of time, these characteristic may be affected and can evolve. For example, the hair color of a person is originally black may become brownish if works regularly under the sun. The same is true for bone structure, metabolism and growth rate. External factors such as food could greatly affect a specie's characteristics.
