The Market Risk Premium (MRP) is the difference between the market portfolio's expected return and the risk-free rate.
<h3>What is
market ?</h3>
- A market is a place where buyers and sellers come together to facilitate the exchange and trading of goods and services.
- A market place can be physical, like a retail store, or virtual, like an e-merchant.
- Many of the other examples include illegal markets, auction markets, and financial markets.
- The structure of the economic market can be divided into four categories: Perfect competition, monopoly competition, oligopoly, monopoly.
- Categories differ in the following characteristics: The number of producers is large in monopoly competition, few in oligopoly, and he is one in monopoly.
- Markets matter. Markets are the mechanisms through which shares of a company are bought and sold, providing companies with access to cash.
- Markets are very important for pricing, liquidity transformation, and enabling businesses to meet customer needs.
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Answer:
$164.29
Explanation:
The formula to compute the markup percentage is shown below:
Markup percentage = (Sale price - purchase price) ÷ (purchase price)
where,
Markup percentage is 40%
Sale price is $230
So, the purchase price is
0.40 = ($230 - purchase price) ÷ (purchase price)
0.40 × purchase price = $230 - purchase price
So, the purchase price is
= $230 ÷ 1.40
= $164.29
Answer:
The best consumption bundle is (b)
Explanation:
The best consumption bundle is always the one which satisfies the most. In the above scenario, Jennifer wants to buy both DVDs and albums. The cost of DVD and album is $15 and $ 7.5 respectively. The best combination is to buy 2 DVDs they will cost her 30$, and with the remaining 15$ she can buy two albums. So, the best combination is 2, 2.
I think the answer is D but i could be wrong
