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kotegsom [21]
3 years ago
7

According to the Capital Asset Pricing Model (CAPM), correctly priced securities:

Business
1 answer:
miskamm [114]3 years ago
5 0

Answer:

A) have zero alphas

Explanation:

Stock's alpha show show much they have over or under performed in relation to similar peer stocks. But if the stocks were correctly priced, then alpha should be 0 since no variation, either positive or negative should occur. Alpha basically measures the error in the stock's valuation. It is always better to have positive alphas because if you make a mistake then hopefully is in your favor, but alphas can also be negative and that equals unexpected losses.

This is why the CAPM model only considers beta in its calculation.

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Tomato sauce and spaghetti noodles are complementary goods. A decrease in the price of tomatoes will a. decrease consumer surplu
Hunter-Best [27]

Answer: c. increase consumer surplus in the market for tomato sauce and increase producer surplus in the market for spaghetti noodles.

Explanation:

A complementary good is the one which can be used only with another good. For example a CD can only run in a CD player or any other suitable device so the sales of CD is dependent upon the availability of device used to pay it. Other examples are tennis ball and tennis racket, mobile phone and sim cards, and others.

According to the given situation the decrease in price of tomato will be an advantage to the consumers as they will be able to purchase them with an affordable price and can produce tomato sauce this will promote the production of spaghetti noodles as tomato sauce is consumed along with spaghetti noodles this way the tomato sauce and spaghetti noodles are complementary goods for each other. The sales and production of one good will affect the sales and production of another.

6 0
3 years ago
What other pervasive institutional consideration may influence pay inequality
Anettt [7]

The other pervasive institutional consideration which may influence pay inequality include: technological advancement, globalization, wage-setting institutional changes. In a persuasive speech, the discourse will focus on the reasons for supporting your specific purpose statement. Read below about persuasive institutional consideration strategies.

<h3>What are persuasive strategies?</h3>

The persuasive strategies are logos, ethos and pathos. The peak effective persuasive communication usually has a mix of all three strategies. Logos uses logic or reason to reach a conclusion, while ethos depends upon the credibility of the author or speaker.

Therefore, the correct answer is as given above

learn more about persuasive strategies: brainly.com/question/24450505

#SPJ1

4 0
2 years ago
I am thirteen and need to make money what should I do?
antiseptic1488 [7]

Answer:

babysit- which i doubt is a good idea rn

walk dogs

shovel snow from driveways

Explanation:

5 0
3 years ago
Read 2 more answers
Ring Technology has a capital budget of $850,000, it wants to maintain a target capital structure of 35% debt and 65% equity, an
Bad White [126]

Answer:

b. $ 952,500

Explanation:

The computation of the amount of the net income for earning to meet out the requirement is shown below:

Dividend = Net income - Target Equity ratio × Total capital budget

$400,000 = Net income - 0.65 × $850,000

$400,000 = Net income - $552,500

So, the net income is

= $400,000 + $552,500

= $952,500

Hence the Net income is $952,500

Therefore the correct option is b. $952,500

3 0
3 years ago
The labor force of many more developed countries (mdcs) may experience higher taxes over the next half century to provide essent
aleksklad [387]
<span>Higher taxes will provide to the growing number of senior citizens. There are much more elderly citizens now than there were 50 years ago with the baby boomers aging into their golden years. In order to provide services for these individuals, taxes could likely increase to cover the increasing costs.</span>
6 0
3 years ago
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