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jeka94
2 years ago
12

1. A stock has an expected return of 10.2 percent, the risk-free rate is 4.1 percent, and the market risk premium is 7.2 percent

. What must the beta of this stock be?
Business
1 answer:
NNADVOKAT [17]2 years ago
5 0

Answer:

Beta is  0.85  

Explanation:

The value of Beta can de derived from the CAPM formula of expected return

expected return=risk-free rate+Beta*market risk premium

expected return  is 10.2%

risk-free rate is 4.10%

market risk premium is 7.2%

Beta is unknown

10.20%=4.10%+Beta*7.20%

10.20%-4.10%=Beta*7.20%

6.10% ==Beta*7.20%

Beta=6.10% /7.20%

Beta= 0.85  

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CureAll, a pharmaceutical company, develops a new drug to treat restless legs syndrome. An experiment to test the drug's efficac
adoni [48]

Answer:

double-blind experiment

Explanation:

A double-blind experiment is one in which both the experimenter and the subjects don't have knowledge of which treatment is given to which participant.

The aim of this method is to avoid bias especially from demand characteristics (experimenter expectation) and placebo effect (perception of benefit from an ineffective substance).

Double-blind experiment is used when CureAll develops a new drug to treat restless legs syndrome, and test the drug's efficacy is designed in such a way that neither the experimenter administering the drug or participants knows which drug is administered.

4 0
3 years ago
Community hospital just hired a contrast coder who charges $5.00 per record coded. Last week she coded 300 records. The HIM mana
VLD [36.1K]

Answer:

The contrast coder's weekly salary last week was $450.00.

Explanation:

The CC charged $5.00 per record coded. The previous week she coded 300 records.

Write it like:

$5.00 x 300 = 1500.00

Though remember the hospital has a 30% benefit.

So:

1500.00 x 30%*=450.00

*0.30 if you can't do the % sign on the calculator

Sorry if it doesn't work out!

6 0
2 years ago
For 2021, Sherri has a short-term loss of $2,500 and a long-term loss of $4,750. a. How much loss can Sherri deduct in 2021?
lakkis [162]

Based on the information given the amount of loss that  Sherri deduct in 2021 is $3,000.

<h3>Short-term loss and long-term loss</h3>

Since he had both short-term loss and long-term loss the amount of loss that is deductible is $3,000 of capital loss. ($1,500 each for married filing separately).

Both the short-term loss and the long-term loss are combined up to the limit of the amount of $3,000 and the capital loss in excess of the amount of $3,000 are carried forward to following year.

Inconclusion the amount of loss that  Sherri deduct in 2021 is $3,000.

Learn more about short-term loss and long-term loss here:brainly.com/question/25117603

7 0
2 years ago
You get a sales report every month to show the products sold from each state. You notice the sales from California are down from
Lostsunrise [7]

Answer: This is an example of a DRILL DOWN report

Explanation:

Drill down means to seek out detailed additional information on a specific subject. It involves clicking on a subject, or link or object to reveal more detail about a particular information.

To drill down through a series of information means you want to get a specific information, it involves accessing information but starting first with the general options before proceeding through the database to get successive ideas on the subject matter. Most times people drill down on an information when they have only the summary, then they will "dig Futher" to get suitable information according to their logic.

6 0
3 years ago
Which of the following items will not appear in the operating section of patnode's 2005 indirect method cash flow statement?
galben [10]

Answer:

B. Add: decrease in accounts payable $1,000.

Explanation:

Operating Cash Flow (OCF) can be described as the cash that comes from the normal operating activities a company during a particular period.

The operating cash flow section starts with net income and other items that appear under it include change in current assets and current liabilities.

The following are 4 rules that employed to determine the nature of an adjustment to a current asset or current liability under the operating cash flow section of the cash flow statement:

Rule 1: When a current asset increases, you deduct.

Rule 2: But when a current asset reduces, you add.

Rule 3: When a current a liability increases, you add.

Rule 4: But when a current liability reduces, you deduct.

The 4 rules are now applied to this question as follows:

A. Deduct: increase in accounts receivable $3,000.

Account receivable is a current asset and there is an increase in it. Based on Rule 1, we deduct. Therefore, what is done is correct and will appear in the operating section of the cash flow.

B. Add: decrease in accounts payable $1,000.

Accounts payable is a current liability and there is a decrease in it. Based on Rule 4, we should deduct. Therefore, what is done is wrong and will not appear in the operating section of the cash flow.

C. Add: increase in taxes payable $2,400.

Taxes payable is a current liability and there is an increase in it. Based on Rule 3 above, we add. Therefore, what is done for this is correct and will appear in the operating section of the cash flow.

D. Add: decrease inventories $6,000.

Inventory is a current asset and there is a decrease in it. Based on Rule 2 above, we add. Therefore, what is done is correct and will appear in the operating section of the cash flow.

Conclusion

Based on the analysis above, only option B is wrong and will not appear in the the operating section of the cash flow. Therefore, the answer is B. Add: decrease in accounts payable $1,000.

4 0
3 years ago
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