Answer:
Scott Bestor should confess his honest mistake.
Explanation:
Two of most important attributes that are required from an accountant are integrity and trustworthiness.
Refusing to tell the management his honest mistake in order not jeopardize his possible promotion is a short-run gain to him. But confessing his honest mistake has a long run gain as this will preserve his integrity and trustworthiness forever. In addition, it is unethical and a sign of disloyalty for an accountant not to disclose all the information relevant to the company based on his position as an account.
Therefore, Scott Bestor should confess his honest mistake rather than sacrificing his integrity and trustworthiness as well as the ethic of his profession for a short-term gain (i.e. promotion).
Answer:
A. the double coincidence of wants problem.
Explanation:
Trade by barter involves the exchange of goods and services for goods and services without the use of money as a medium of exchange. In barter system, there is what we call double coincidence of wants. This is the economic situation whereby both parties holds what the other wants to buy, so they exchange the goods directly. Here, both parties agrees to buy and sell each other commodities. However, if one of the party is not interested in what the other party is offering, it causes a disruption in the trade. This disruption refers to a drawback in the system like the example described in the question.
Here, Andy couldn't make a deal with Danny even tho he wants what Danny is offering. This is because what Danny isn't interested in what Andy is offering. Thus, the double coincidence of want and barter trade can't occur between the two parties.
Answer: A. STORAGE FACILITIES
Explanation: STORAGE FACILITIES are structures or systems put in place to Prevent the quick spoilage of a given product. Storage facilities are required for products that can easily deteriorate. With proper storage facilities or System the shelf life of the product can be Extended.
Businesses planning to market Al NATURAL PRODUCTS MUST INVEST IN STORAGE FACILITIES AS NATURAL PRODUCTS DETERIORATE EASILY IF NOT STORED PROPERLY. The storage facility can be in the form of COLD ROOMS for frozen Products or COOL DRY ENVIRONMENT for most processed foods etc.
Answer:
Beta of this portfolio = 0.9953
Explanation:
Given:
Investment in security A = $650 beta 1.2
Investment in security B = $450 beta 0.7
Find:
Beta of this portfolio
Computation:
Beta of this portfolio = [650 / (650+450)]1.2 + [450 / (650+450)]0.7
Beta of this portfolio = [650 / (1,100)]1.2 + [450 / (1,100)]0.7
Beta of this portfolio = 0.7090 + 0.2863
Beta of this portfolio = 0.9953
Answer:
The cost of equity is 12.49 percent
Explanation:
The price per share of a company whose dividends are expected to grow at a constant rate can be calculated using the constant growth model of the DMM. The DDM bases the price of a stock on the present value of the expected future dividends from the stock. The formula for price today under this model is,
P0 = D1 / r - g
Where,
- D1 is the dividend expected for the next period
- r is the cost of equity
- g is the growth rate in dividends
As we already know the P0 which is price today, the D1 and the growth rate in dividends (g), we can plug in the values of these variables in the formula to calculate the cost of equity (r)
100.81 = 8.76 / (r - 0.038)
100.81 * (r - 0.038) = 8.76
100.81r - 3.83078 = 8.76
100.81r = 8.76 + 3.83078
r = 12.59078 / 100.81
r = 0.12489 or 12.489% rounded off to 12.49%
