1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
mariarad [96]
3 years ago
7

3. What type of risk is relevant for determining the expected return?

Business
1 answer:
erma4kov [3.2K]3 years ago
8 0

Answer:

Systematic risk.

Explanation:

Systematic risk corresponds to the risk of the financial market as a whole. In other words, it is the risk that affects the economy and it is difficult to predict and prevent it from occurring. As an example, a risk of bankruptcy of financial institutions and banks can be mentioned.

This systemic risk therefore affects the expected return on an investment.

You might be interested in
Automakers began rewarding dealers with financial incentives long before dealership customers started getting them, too. Recipie
frozen [14]

Answer:

Spiff

Explanation:

Spiff: It is an financial incentive paid by manufacturer or employer to the salesperson for directly selling it´s product., sometime it is paid on achieving sales target by salesperson. It encourage seller to make more sales. Spiff stand for Sales performance Incentive Fund and it is paid quicker than commission.

In the given case, Automaker is paying spiff to dealers to encourage sales of it´s own brand over a competitor's product sold at the same store.

8 0
3 years ago
Suppose two companies own adjacent oil fields. Under the two fields is a common pool of oil worth $60 million. For each well tha
AlekseyPX

Answer:

Each company drills two wells and experiences a profit of $22 million.

Explanation:

If each company acts independently and drills two oil wells each they will have a total of 4 wells each worth (60 million ÷ 4= $15 million.

Each company will have two oil wells which equals (2* 15 million = $30 million)

But each company incurs cost of $4 million per well. That is total cost of $8 million.

Therefore the profit for each company will be $30 million - $8 million= $22 million

8 0
2 years ago
Boiler rooms with slick telemarketers offered full physicals for a little or no fee. this free diagnostic service turned out to
scoundrel [369]
<span>Information was used to file claims against insurance companies and government insurance, patients were pushed to take out loans to cover services, patients' credit card information was obtained and card companies were billed, patients were required to furnish bank information and electronic checks were processed by financial institutions.</span>
4 0
3 years ago
On December 29, 2005, BJ Co. sold an equity security investment that had been purchased on January 4, 2004. BJ owned no other ma
sineoko [7]

Answer:

AFS 2004 market price decline exceeded 2005 market price recovery

No No

The security cannot be classified as available-for-sale because the unrealized gains and losses are recognized in the Income Statement. Unrealized gains and losses on available-for-sale securities are recognized in owners' equity, not earnings.

The second part of the question is somewhat ambiguous. The 2004 price decline could exceed or be exceeded by the 2005 price recovery. The loss in the first year is not related in amount and does not constrain the realized gain in the second year.

The way to answer the question is to read the right column heading as implying that the earlier price decline must exceed the later price recovery. With that interpretation, the correct answer is no.

For example, assume a cost of $10 and a market value of $4 at the end of the first year. An unrealized loss of $6 is recognized in earnings. During the second year, the security is sold for $12. A realized gain of $8 is recognized-the increase in the market value from the end of the first year to the sale in the second year. Thus, the market decline in the first year did not exceed the recovery in year two. (It could have exceeded the recovery in year two but there is no requirement that it must.)

Explanation:

3 0
2 years ago
What is the best career to go for?
Soloha48 [4]

Answer: Well what things are you interested in?

Explanation:

6 0
3 years ago
Read 2 more answers
Other questions:
  • Acute Company manufactures a single product. On December 31, 2014, it adopted the dollar-value LIFO inventory method. The invent
    6·1 answer
  • The main reason that firms outsource is that: low-wage workers in other countries are more productive than are u.s. workers. hir
    9·1 answer
  • A medium-term goal takes ___ to accomplish
    9·2 answers
  • In Bovania, cattle compose 48 percent of the consumer price index (CPI), housing composes 32 percent, and entertainment accounts
    11·1 answer
  • Market offerings are some combination of products, services, information, or experiences offered to a market to satisfy a need o
    11·1 answer
  • Which of the following statements correctly describe a contemporary approach to create the Work Breakdown Structure (WBS) for a
    10·1 answer
  • Select the guidelines you should follow when creating a business letter
    15·1 answer
  • Which of the following hiring procedures provides the most control over the accuracy of information submitted on an employment a
    7·1 answer
  • Financial markets bring together people interested in purchasing or selling <br> what?
    10·1 answer
  • The management of Bonga Corporation is considering dropping product D74F. Data from the company's accounting system for this pro
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!