Answer:
The business must explicitly articulate values that emphasize ethical behavior.
Explanation:
Answer:
The increase in the stock of real capital exceeds the increase in inputs of labor.
Explanation:
The labor productivity refers to the amount of labor per unit of output. labor productivity increases when with the same amount of labor the output increase or the increasein labor generate an increase in output higher than proportional.
<u>From the given options:</u>
An increase in stock of real capital exceeding the increase in input of labor will translate into a higher productivity as each unit of labor has more capital to work with
Answer:
Uncertainty over Reliable and Unreliable Product
a. Given this uncertainty, the most this consumer will pay to purchase one unit of this product is $25
b. The amount that this consumer will be willing to pay for the product if the firm offering the reliable product includes a warranty that will protect the consumer is $50.
c. This is because the stated maximum amount that the consumer is willing to pay for the reliable product is $50. She is not prepared to spend more than this amount on the reliable product.
Explanation:
a) Data and Calculations:
Unreliable Reliable
Maximum amount the consumer will pay $0 $50
Probability of reliability 0.5 0.5
Expected amount to pay for either product $0 $25 ($50 * 0.5)
a. Given this uncertainty, the most this consumer will pay to purchase one unit of this product is $25 ($0 + $25)
Answer:
The right answer is Option b (menu costs).
Explanation:
- Menu expenses or costs would be the expenses a company entails if it modifies its pricing often, the most important approach to pay for the menu would be to keep particular pricing persistent.
- And that if an organization employee regularly changes significantly pricing owing to an improvement throughout commodity price marketing expenses are involved.
The other four choices are not connected to the given query. So the above is the right approach.
Question (in proper order)
If the simple CAPM is valid and all portfolios are priced correctly, which of the situations below is possible? Consider each situation independently, and assume the risk-free rate is 5%.
A)
Portfolio Expected Return Beta
A 11 % 1.1
Market 11 % 1.0
B)
Portfolio Expected Return Standard Deviation
A 14 % 11 %
Market 9 % 19 %
C)
Portfolio Expected Return Beta
A 14 % 1.1
Market 9 % 1.0
D)
Portfolio Expected Return Beta
A 17.6 % 2.1
Market 11 % 1.0
Option A
Option B
Option C
Option D
Answer and Explanation:
A) As Per CAPM
Expected Return = Risk free rate + Beta × (Market Return - Risk free Rate)
= 5% + 1.1 × (11% - 5%)
= 11.60%
(Portfolio is not correctly Priced)
B) Standard Deviation alone cannot determine expected return using CAPM
C) As Per CAPM
Expected Return = Risk free rate + Beta × (Market Return - Risk free Rate)
= 5% + 1.1 × (9% - 5%) = 9.40%
(Portfolio is not correctly Priced)
D) As Per CAPM
Expected Return = Risk free rate + Beta × (Market Return - Risk free Rate)
= 5% + 2.1 × (11% - 5%) = 17.60%
Required Rate and Expected Return of Portfolio are Same
(Portfolio is correctly Priced)
Option D is correct option
