The effects of leverage
Leverage, however, will increase the volatility of a company's earnings and cash flow. In finance, the term is used to describe the amount of cash (currency) that is generated or consumed in a given time period. There are many types of CF, as well as the risk of lending to or owning said company
Answer:
$1.64 per share
Explanation:
The computation of Number of Shares for computing Diluted Earning per share is shown below:-
Proceeds expected = 5,300 × $6
= $31,800
No. of Shares re-purchased = $31,800 ÷ $11
= $2,891 (rounded)
Net Effect of Stock Option = 5,300 - $2,891
= 2,409 shares
Number of Shares for computing Diluted Earning per share = Outstanding shares + Net Effect of Stock Option
= 71,105 + 2,409
= 73,514
Diluted earnings per share for the quarter = Net income for the quarter ÷ Number of Shares for computing Diluted Earning per share
= $120,805 ÷ 73,514
= $1.64 per share
So, for computing the Number of Shares for computing Diluted Earning per share we simply applied the above formula.
Answer:
3. the sampling distribution of the sample mean is normally distributed.
5. the value of the sample mean varies from sample to sample.
Explanation:
We develop confidence interval for population mean because
a. the sampling distribution of the sampling mean is normally distributed. For us to do this we must first ensure that the sample mean is large enough
B. The value of the sample mean is not the same for all samples it varies from sample to sample. Therefore it it is better that an internal is given with the probability that the parameter falls into it.
1. When Tonya chose the chicken sandwich, her opportunity cost was the burger.
2. When Jimmy chose the licorice, his opportunity cost was the jelly beans. (It's the jelly beans since the nut clusters are not included in the next alternative because of his allergies to it.)
3. When Mary chose the jacket, her opportunity cost was either the dress or the shoe, whichever was her next best alternative. (The statement does not give enough information to identify her opportunity cost. It could not be both since an opportunity cost is the next <em>best</em> alternative and not <em>all</em> alternatives.)
4. When Joe chose the Ford truck, his opportunity cost was the Chevrolet.
5. When the city council chose to build the music stage, their opportunity cost was the wading pool. (The parking lot which people would have wanted is not considered because we are talking about the City Council's opportunity cost.)
Answer:
The answer is SDA Corp stocks alpha is -1.75%
Explanation:
CAPM E(
) = 10 + 1.25(17 - 10) =
= 10 + 1.25(7)=
= 10 + 8.75
= 18.75%
= 17 - 18.75
= -1.75%
