The market risk premium of Fund P will be 5.5%.
<h3>How to calculate the market risk premium?</h3>
It should be noted that as per CAPM, the return in stock will be:
= Risk free rate + Beta × Market risk premium
8.90% = 4.5% + 0.8 × Market risk premium.
Market risk premium = 5.5%
In conclusion, the market risk premium of Fund P will be 5.5%.
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Answer:
$1,500
Explanation:
The computation of the amount of dividend for a preference shareholder is shown below:
Dividend per year is
= (100 shares × $100 par) × 5%
= $500
As the preferred stock is cumulative, so the holders would receive past dividends i.e not distributed
From 2019 = $500
From 2020 = $500
From 2021 = $500
Total $1,500
Answer:
Economics is the social science that studies how people use scarce resources to satisfy unlimited needs and wants.
so yes the answer is true
Explanation:
(つ◕౪◕)つ━☆ﾟ.*･｡ﾟ
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Answer:
Land 373,500
Building 1,100,000
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land improvements 67,000
Fence 55,000
Sign 12,000
Explanation:
Land cost:
cash 160,000
note payable 145,000
delinquent property tax 4,000
insurance costing 1,500
level the land 3,000
soil <u> 60,000</u>
Total land: 373,500
The land will be recorded for all the cost necessary to get it ready for use.
The soil, once added can't be differentiate from the original land. It is added to the land is not an improvement.
The office building will be for 1,100,000
land improvements will be the fence and signs:
fence 55,000
sign <u> 12,000 </u>
total 67,000
A. i am pretty sure it is A.
