As a seller we would receive $1,041.25
<u>Solution:</u>
You may receive the bid price of the dealer,  of $1,000, or $1,041.25
 of $1,000, or $1,041.25
Prices of treasury bonds are expressed as par value amounts.  
The quote price of 104:25 means that the bond is priced at  of the par value.
 of the par value.  
Therefore, if the debt is $1,000, the dollar values to be charged by the borrower should be 
 
        
             
        
        
        
The question is incomplete. Here is the complete question:
The following annual returns for Stock E are projected over the next year for three possible states of the economy. What is the stock’s expected return and standard deviation of returns? E(R) = 8.5% ; σ = 22.70%; mean = $7.50; standard deviation = $2.50
State              Prob     E(R)
Boom             10%     40%
Normal           60%     20%
Recession      
30%   - 25%
Answer:
The expected return of the stock E(R) is 8.5%.
The standard deviation of the returns is 22.7%
 
Explanation:
<u>Expected return</u>
The expected return of the stock can be calculated by multiplying the stock's expected return E(R) in each state of economy by the probability of that state.
The expected return E(R) = (0.4 * 0.1)  +  (0.2 * 0.6)  +  (-0.25 * 0.3)
The expected return E(R) = 0.04 + 0.12 -0.075 = 0.085 or 8.5%
<u>Standard Deviation of returns</u>
The standard deviation is a measure of total risk. It measures the volatility of the stock's expected return. The standard deviation (SD) of a stock's return can be calculated by using the following formula:
SD = √(rA - E(R))² * (pA) + (rB - E(R))² * (pB) + ... + (rN - E(R))² * (pN)
Where,
- rA, rB to rN is the return under event A, B to N.
- pA, pB to pN is the probability of these events to occur
- E(R) is the expected return of the stock
Here, the events are the state of economy.
So, SD = √(0.4 - 0.085)² * (0.1) + (0.2 - 0.085)² * (0.6) + (-0.25 - 0.085)² * (0.3)
SD = 0.22699 or 22.699% rounded off to 22.70%
 
        
             
        
        
        
The correct answer is Neutral stance
        
             
        
        
        
When the auditors express an opinion on financial statements their responsibilities extend to : Whether the results of their client's operating decisions are fairly presented in the financial statements.
Explanation:
An auditor is a person or corporation assigned to conduct an audit by a client. To order to be an auditor, a person should have a credential or relevant credentials of the regulatory authority for accounting and auditing.
The auditor is someone who reviews financial records and checks them. They ensure consistency of financial records and correct payment of taxes. We monitor financial activities to ensure that companies operate efficiently.
A statement that somehow the auditor is liable for expressing an opinion on the audit's financial statements. Examining details of the sums and reports in the financial statements on a test basis; evaluating the accounting standards used and relevant management estimates;
 
        
             
        
        
        
Answer:
Fixed overhead application rate
= <u>Budgeted fixed overhead</u>
   Budgeted direct labour hours
= <u>$114,000</u>
   60,000 hrs 
= $1.90 per direct labour hour
Amount of overhead applied to job X387:     $
Variable overhead $4.90 x 170 hours         = 833
Fixed overhead $1.90 x 170 hours               = 323
                                                                             1,156
                                                             
Explanation:
In this case, there is need to calculate the fixed overhead application rate based on direct labour hours by dividing the the budgeted fixed overhead by budgeted direct labour hours. Then, we will calculate the overhead applied to Job X387 by multiplying the fixed and variable application rate by actual direct labour hours of 170 hours.