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3 years ago

If markets are efficient, what should be the correlation coefficient between stock returns for two nonoverlapping time periods?

Business

1 answer:

S_A_V [24]3 years ago

7 0

Answer: Zero

Explanation:

The Correlation Coefficient measures the relationship between 2 variables under study and ranges from -1 to +1 which -1 meaning that the two are perfectly negatively correlated and +1 meaning they are perfectly positively correlation. A Correlation Coefficient of 0 means that there is no relationship.

An efficient market is one where all information is available to every market participant. This means that one cannot use information from one period to make abnormal profits in another period because all information is available. The Correlation Coefficient will therefore show 0 because information from the previous period is not being used in another period meaning there is no relationship between stock returns.

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can produce two types of light fixtures, the indoors model and the outdoors model. if the total sales are expected to be 21,050

mars1129 [50]

Answer:

$1,000,000

Explanation:

The computation is shown below:

<u> Particulars Indoors Model Outdoors Model Total </u>

No of Units

(21,050 in ratio 2:3) 8,420 12,630 21,050

Sales 1,263,000 2,778,600 4,041,600

Less: Variable costs 168,400 505,200 673,600

Contribution margin 1,094,600 2,273,400 3,368,000

Less: Fixed costs

(2,160,000 + 208,000) 2,368,000

Operating Income 1,000,000

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3 years ago

Concept maps work because they _______. a. are colorful and interesting b. can be drawn by almost anyone c. visually demonstrate

stich3 [128]

Answer:

concept maps work because they <u>visually demonstrate relationships</u>

8 0

2 years ago

has 17,500 shares of stock outstanding along with $408,000 of interest-bearing debt. The market and book values of the debt are

Naddik [55]

Answer:

$926,073

Explanation:

Enterprise value=market capitalization+value of debt-cash

value of the firm=price-earnings ratio=11.8

earnings=net income

net income=profit margin*sales

net income=$697,000*6.8%=$47,396

11.8=market capitalization/$47,396

market capitalzation=11.8*$47,396=$559,272.80

enterprise value=$559,272.80+$408,000-$41,200=$ 926,072.80 (approx $926,073)

6 0

3 years ago

A wire connector bearing no marking or reference to al, cu, or alr is suitable for use with _________ conductors only.

Misha Larkins [42]

A wire connector bearing no marking or reference to al, cu, or alr is suitable for use with copper aluminum conductors only.

A conductor, or electrical conductor, is a substance or material that lets in energy to glide via it. In a conductor, electrical charge companies, generally electrons or ions, circulate without difficulty from atom to atom while voltage is carried out. A conductor, or electrical conductor, is a substance or cloth that allows strength to go with the flow via it. In a conductor, electrical rate providers, generally electrons or ions, flow without problems from atom to atom while voltage is implemented.

A conductor allows modern to glide easily thru it. Insulators do not permit modern to glide via it. electric fee exists at the surface of conductors. electric charges are absent in insulator. Conductors do not keep electricity when kept in a magnetic discipline.

Conductors are a category of materials that allow electrons to float without difficulty that is called electricity and are a useful way to move energy. maximum conductors are metals, and maximum metals are conductors, but a few metals are higher conductors than others.

Learn more about conductors here:-brainly.com/question/492289

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8 0

2 years ago

The $25 you deposit into your savings account when you receive a paycheck is an example of money being used as a

Leni [432]

Well u are saving money for something

7 0

3 years ago

Read 2 more answers