Answer: 12.6%
Explanation:
The bank's expected standard deviation after adding this branch will be calculated thus:
= (Total invested in new branch × Expected rate of return) + (1 - Investment in new branch) × Other assets
= (0.2 × 0.15) + (1 - 0.2) × 0.12
= 0.03 + 0.8 × 0.12
= 0.03 + 0.096
= 0.126
= 12.6%
Therefore, the bank's expected standard deviation after adding this branch is 12.6%.
Answer:
The total amount that would be paid to bank is $11,564.
Explanation:
I = PRT/100
I is the simple interest on the loan
P is the amount of loan taken = $9,800
R is the simple interest rate = 6%
T is the duration for the loan to be paid with interest = 3 years
I = 9,800×6×3/100 = $1,764
Total amount to be paid = P + I = $9,800 + $1,764 = $11,564
C.) how to research in design your own business
<u>Answer:
</u>
C corporation dividend distributions are taxed first at the time they are calculated at the entity level and then also taxed at the individual shareholder level.
Option: (D)
<u>Explanation:
</u>
- When the dividend is at the entity level, it is deemed to be as the profit gained by the corporation.
- Hence, the corporation is bound to pay the corporate income tax of 21% on the entire amount of dividends.
- Once the dividend is distributed among the shareholders after initial taxation, it becomes income for the shareholders. Thus, shareholders also need to pay the income tax.
Answer:
$10 for 200 units which means $0.05 per unit.
Explanation:
The firm will only survive in a perfectly competitive market if its average cost is at minimum level which we can see in the figure. The lowest average cost is $10 for 200 units which means average cost per unit is $0.05 per unit. At this stage the company will be able to produce higher profits because its average cost per unit is at minimum level.
