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Nana76 [90]
3 years ago
11

Apple has a Beta of 1.25. Assume that the risk-free rate of interest is 3% and that you expect the stock market will return 8% o

ver the next year. According to the Capital Asset Pricing Model (CAPM), the expected return of Apple is
Business
1 answer:
kondor19780726 [428]3 years ago
4 0

Answer:

9.25%

Explanation:

The computation of the expected return under the Capital Asset Pricing Model (CAPM) is shown below:

Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)

= 3% + 1.25 × (8% - 3%)

= 3% + 1.25 × 5%

= 3% + 6.25%

= 9.25%

The (Market rate of return - Risk-free rate of return) is also known as the market risk premium

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Explanation: BIG STONKS

5 0
3 years ago
Hassock Corp. produces woven wall hangings. It takes 3 hours of direct labor to produce a single wall hanging. Hassock standard
NISA [10]

Answer:

Direct labor time (efficiency) variance= $2,080 unfavorable

Explanation:

Giving the following information:

Standard= 3 hours of direct labor per unit

The standard labor cost is $13 per hour.

During August, Hassock produced 9,000 units and used 27,160 hours

<u>To calculate the direct labor efficiency variance, we need to use the following formula:</u>

Direct labor time (efficiency) variance= (Standard Quantity - Actual Quantity)*standard rate

Direct labor time (efficiency) variance= (3*9,000 - 27,160)*13

Direct labor time (efficiency) variance= $2,080 unfavorable

5 0
2 years ago
"Jen operates Jen's Fruits &amp; Vegetables, a small market stocked entirely with produce grown on her adjacent farm. Under what
GarryVolchara [31]

Answer:

The federal government can regulate Jen's activity citing the supreme court rule of the government ability to regulate any activity interstate or intrastate that affects interstate commerce.

In the line of this argument it means that a farmer growing and of goods affects interstate commerce.

The farmers best argument concerning the federal government regulating their activities due to interstate commerce is that his activities are purely local and although I don't believe any court will hear him out.

Explanation:

6 0
3 years ago
A select list of transactions for Anuradha's Goals follows:
umka2103 [35]

Answer:

April 1. Paid six months of rent, $4,800

Requires Deferred expense-type of adjusting entry

April 10. Received $1,200 from customer for six month service contract that began April 1.

Requires Deferred revenue-type of adjusting entry

April 15. Purchased a computer for $1,000.

Requires Deferred expense-type of adjusting entry

April 18. Purchased $300 of office supplies on account

Requires Deferred expense-type of adjusting entry

April 30. Work performed but not yet billed to customer, $500

Requires Accrued revenue-type of adjusting entry

April 30. Employees earned $600 in salaries that will be paid May 2.

Requires Accrued expenses-type of adjusting entry

7 0
3 years ago
If government spending occurs, there will be a(n) _______ of private-sector investors, described as a(n) _______ of that spendin
MrRa [10]

If government spending occurs, there will be a(n)crowding out of private-sector investors, described as a(n) opportunity cost of that spending.

<h3>What is government spending?</h3>

This is the term that is used to refer to all forms of expenditures that the government of a place may embark on.

Spending is an expansionary policy that helps to stimulate the government of a place.

Read more on government spending here:

brainly.com/question/25125137

#SPJ1

3 0
1 year ago
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