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4 years ago

How is being comfortable with risk and flexibility important to having an entrepreneurial mindset

Business

1 answer:

saveliy_v [14]4 years ago

4 0

Answer:

An entrepreneurial mindset is a set of skills that enable people to identify and make the most of opportunities, overcome and learn from setbacks, and succeed in a variety of settings. This means that being too stubborn and unyielding in your approach can be a recipe for stress and potential business disaster. Being flexible as an entrepreneur can provide you with an important competitive edge. It helps you to exploit opportunities as and when they arise. Successful entrepreneurs stick to the basic principles of risk management: They look for opportunities where if they fall short they lose only a certain value, but if they win they could stand to gain 10 times as much. And the best entrepreneurs never bet more than they can afford to lose. They always consider Plan B (as well as Plan C, D and E) in case the current program doesn’t work out as expected.

Hope that this gives some insight on the topic :)

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You manage an equity fund with an expected risk premium of 12.4% and a standard deviation of 38%. The rate on Treasury bills is

timama [110]

The expected return = = 12.84 %.

The standard deviation = 22.8 %.

<u>Explanation</u>:

On the client's portfolio (total investment = 120 K + 80 K = 200 K,

The expected return

= (12.4 %risk premium + 5.4 %risk free return) $\times$ (120 K / 200 K) + 5.4 % $\times$ (80 K / 200 K)

= 17.8 % $\times$ 0.6 + 5.4 % $\times$ 0.4

= 12.84 %.

The standard deviation would be = 38 % $\times$ 0.6 + 0% $\times$ 0.4

= 22.8 %.

4 0

3 years ago

Richland Enterprises has budgeted the following amounts for its next fiscal year: Total fixed expenses $ 48 comma 000 Selling p

Alik [6]

Answer:

The number of units needed to break even will decrease by 276 units

Explanation:

Giving the following information:

Total fixed expenses $48,000

Selling price per unit $45

Variable expenses per unit $30

Richland Enterprises can reduce fixed expenses by $4,140.

First, we need to calculate the actual break-even point in units:

Break-even point= fixed costs/ contribution margin

Break-even point= 48,000/ (45 - 30)= 3,200 units

New fixed costs= 48,000 - 4,140= 43,860

Now, we calculate the new break-even point:

Break-even point= 43,860 / 15= 2,924

The number of units needed to break even will decrease by 276 units.

6 0

3 years ago

The founders of the U.S. wanted to avoid establishing a permanent aristocracy or group of wealthy families who could control a g

VLD [36.1K]

Answer:

There are two points that I would like to single out that are very similar. First by implementing tax and gift taxes, Founding Father wanted to weaken families and business of that time, since there was a threat that rich families could become permanent aristocracy which over time could lead to the point where that families will rule the US. Second, by implementing those two taxes, government is taking a share from receivers since the receivers are getting some good that they did not earn it, they have just received it as a gift or as an estate. This way inheritance or gift would be of a much lesser value then it was before someone’s death or before someone made a gift. This was important because wealth of powerful families would just accumulate and grow so government of that time, strictly out of political reasons, prescribed those two taxes, so that the wealth will be smaller of value after tax.

6 0

4 years ago

In the example in the video, why would American companies be hurt when trying to sell goods in Europe affected?

diamong [38]

Answer:US goods would be more expensive

Explanation:

6 0

4 years ago

Steve and Laura were divorced in 2012. Laura pays Steve alimony of $1,200 a month. The payment amount was agreed upon in the dec

pickupchik [31]

Answer:

The correct answer is C

Explanation:

Alimony is the amount or an allowance or a legal obligation which is paid by the spouse to wife in order to support the financial support before or after the material divorce or separation.

Under this situation, Laura (L) pays the alimony to Steve (S), which is agreed upon the decree of the divorce. But in order to save the money, they started to live together, so the alimony payment will not be included in his income as they started to live together and the payment will not be considered as the alimony.

5 0

3 years ago