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2 years ago

A portfolio of stocks can achieve diversification benefits if the stocks that comprise the portfolio are ________.

Business

1 answer:

Rudiy272 years ago

7 0

Answer:

Option A is the correct answer.

Explanation:

A portfolio can only achieve diversification benefits if the securities that make up the portfolio are negatively correlated. This is because non-performance of a stock does not affect other stocks negatively. Negatively corrected stocks are the best when it comes to portfolio selection. This will enable the investor to reduce unsystematic risk to the barest minimum.

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Explain the concept of delegation of authority

Archy [21]

Explanation:

Delegation of authority is a process that enables a person to assign a task to others. As a manager or leader, you're expected to perform several tasks and meet multiple deadlines. To ensure that you achieve your objectives on time, you delegate responsibility to your team members

6 0

2 years ago

Read 2 more answers

Slaughter Industries just signed a sales contract with a new customer. What is this contract worth as of the end of year 4 if th

igor_vitrenko [27]

Answer:

$489,512.15

Explanation:

The formula for calculating future value:

FV = P (1 + r)^n

FV = Future value

P = Present value

R = interest rate

N = number of years

We are supposed to determine the present value

Present value is the sum of discounted cash flows

Present value can be calculated using a financial calculator

Cash flow in year 1 = 84,000

Cash flow in year 2 = 113,000

Cash flow in year 3 = 125,000

Cash flow in year 4 = 130,000

I = 6%

PV = 387,739.47

387,739.47(1.06)^4 = $489,512.15

To find the PV using a financial calculator:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

8 0

2 years ago

The Commonwealth of Virginia filed suit in October 2014, against Northern Timber Corporation seeking civil penalties and injunct

tatyana61 [14]

Answer:

Northern Timber Corporation

1. Journal entries to record the change:

Debit Litigation Liability $1,000,000

Credit Cash $600,000

Credit Litigation Loss $400,000

To record the payment of the litigation liability and the reduction of litigation loss by $400,000.

2. Northern can restate the 2014 and 2015 Retained Earnings to reflect the change in the litigation loss.

Explanation:

a) Data and Calculations:

Records of probable loss from ultimate settlement:

2014:

Loss—litigation 1,000,000

Liability—litigation 1,000,000

2016:

Agreed settlement = $600,000

Analysis of Entries:

Litigation Liability $1,000,000

Cash $600,000

Litigation Loss $400,000

4 0

2 years ago

Garth was amazed to hear that his friend Lindsey always pays off her credit card balance each month. Garth just assumed that eve

vampirchik [111]

Answer:

Garth is a "REVOLVER "

Explanation:

Garth is a "Revolver" type of credit user, because he doesn't pay up the monthly payments on his card in full and on time, instead he carries debts over to the other months by paying in monthly installments

Based on the type of credit user Garth is, when picking up a credit card Garth should consider going for credit cards with low interest rate/APR charges and a longer grace period as well.

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3 years ago

While calculating the costs of products and services, a standard costing system ________. does not keep track of overhead cost t

zepelin [54]

Answer:

uses standard costs to determine the cost of products

Explanation:

In the case when we determined the cost of the product and its services so here the standard costing system would be used to measure the cost of product as this is the costing system that are based upon the estimated or predicted values and are significant for generating a product

4 0

2 years ago