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4 years ago

An examination of returns is called an _________________.

Business

1 answer:

Marrrta [24]4 years ago

3 0

Answer:

An examination of returns is called an audit. Please mark me brainliest. Thank you.

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Ig=Ig=80 S=−80 + 0.4Y (Advanced analysis) The equations refer to a private closed economy, where Ig is gross investment, S is sa

aleksley [76]

Answer:

Equilibrium Income = 400

Explanation:

Economy is at equilibrium where :

AD (i.e = C + I) = AS (i.e = C + S)

C + I = C + S

I = S

Given I = 80 , S = -80 + 0.4Y

Putting in formula,

80 = -80 + 0.4Y

80 + 80 = 0.4Y

160 = 0.4Y

Y = 160/0.4

Y = 400

5 0

3 years ago

Develop an Excel worksheet simulation for the following problem. The management of Paragon Household Products is considering the

Alexxandr [17]

<h2><u>Disclamer:</u></h2>

As it ask to run simulations the values calculates will difer even if you follow the same step as I did.

Answer:

Mean Profit: $ 4,295

Probability of loss: 29.80%

As the product has a mean profit it will on average generate gains

but:

as the standard deviation of the simulation was $ 7,778.40

<u>we should not invest on the product as it is to variable</u>

<u>Explanation</u>:

We are going to use the =RAND() function of excel

which, generates a random number between 0 and 1

This will be done 1,000 times 500 for the variable cost

and 500 for the demand.

Then we copy and paste this numbers to get them fixed.

Then, we convert them into actual cost and demand in units considering their distribution

using excel dist.norm.inv

Now, with this values we solve for profit on each one.

<u></u>

FOr the complexity I attached the excel file as the plataform interface cannot handle large tables.

Download xlsx

6 0

3 years ago

Describe what fixed costs and marginal costs mean to a company. Choose the correct answer below. A. The number of units at which

steposvetlana [31]

Answer:

B) Fixed cost is the constant for a particular product and does not change as more items are made. Marginal cost is the rate of change of cost C(x) at the level of production x and is equal to the slope of the cost function at x.

Explanation:

Fixed costs do not change when the quantity of goods or services produced changes, that is why they are fixed (they do not move).

While marginal costs are the costs associated to producing one extra unit of output. They change as the total output changes.

Profit maximizing firms should increase their output level until the marginal cost equals the marginal revenue (revenue generated by selling one additional unit of output).

6 0

4 years ago

Bauerly Co. owned 70% of the voting common stock of Devin Co. During 2012, Devin made frequent sales of inventory to Bauerly. Th

kolezko [41]

Answer:

$ $

Net Income (137000*30%) (a) 41,100

Add:

Unrealized gains in the beginning inventory 40,000

Unrealized gains at the end of the year 25,000

Difference 15,000

(NCI in Unrealized gain (15,000*30%) (b) 4,500

Non-controlling interest's share of Devin's net income for 2012 ($41,100+$4,500) 45,600

Non-controlling interest's share of Devin's net income for 2012= $45,600

Explanation:

7 0

3 years ago

The risk-free rate is 5.4 percent and the market risk premium is 5 percent. Assume that required returns are based on the CAPM.

Karo-lina-s [1.5K]

Answer:

11.419%

Explanation:

Given that,

Risk-free rate = 5.4

Market risk premium = 5

Portfolio = $1 million = $1,000,000

Amount invested in stock A = $218,000

Beta A = 0.5

Amount invested in stock B = $1,000,000 - $218,000

= $782,000

Remainder invested in stock B that has a beta = 1.4

Portfolio beta:

= [(Amount in A × Beta of A) + (Amount in B × Beta of B)] ÷ Total Amount

= [($218,000 × 0.5) + ($782,000 × 1.4)] ÷ $1,000,000

= ($109,000 + $1,094,800) ÷ $1,000,000

= 1.2038

Required return:

= Risk free rate + (Beta × Market risk premium)

= 5.4% + (1.2038 × 5%)

= 5.4% + 6.019%

= 11.419%

Therefore, the required return on this portfolio is 11.419%

8 0

3 years ago