Answer:
subtracting the risk-free rate of return from the market rate of return
Explanation:
Market risk premium is the premium over the risk free rate that investors demand for holding a risky asset
Market risk premium = market rate of return - risk free rate
the higher the risk premium, the higher the return investors are demanding and the riskier the investment
for example if risk free rate is 5% , market rate of return in industry A is 10% while in industry B it is 20%
Market premium in A = 10% - 5% = 5%
Market premium in b = 20% - 5% = 15%
Answer:
$35,000
Explanation:
Given that
Insurance = $700,000
Sustained cost = $40,000
Replacement cost = $1,000,000
Policy = 80%
The computation of amount eligible for payment is as shown below:-
Insurance required = Cost of building × Co insurance
=$1,000,000 × 0.80
= $800,000
The amount eligible for payment = (Insurance Carried ÷ Insurance Required) × Loss
= $700,000 ÷ ($1,000,000 × 80%) × ($40,000)
= $700,000 ÷ $800,000 × $40,000
= 0.875 × $35,000
= $35,000
Answer:
company's product line in the dog food market
Explanation:
In the description provided, it can be said that Prime Cuts will be an addition to the company's product line in the dog food market. A product line is a group of related products all marketed under a single brand name and are sold by the same company to the same targeted group of consumers. Such as in this scenario, all of the products listed are dog treats/food with different ingredients and are all sold by the same company to people looking for dog food.
Your share of the sales proceeds from the sale of a home you had inherited should be reported on Schedule D in the Investment Income section of TaxAct. You would enter "Inherited" as the date the property was acquired, then enter the cost basis, date of sale, and the sales proceeds.
Answer: The correct answer is "D. the benefit of lower prices to be greater than the cost of reduced services and less convenience.".
Explanation: Consumers obviously consider the benefit of lower prices to be greater than the cost of reduced services and less convenience.
Discount and no-frills airlines have less costs to cover so they can offer lower and more affordable prices for consumers. These airlines have been successful because it turns out that consumers value or prefer the lower price rather than the additional services.