Answer:
Arithmetic average rate of return = 9.30 %
geometric average annual rate of return = 8.58%
correct option is A 9.30 % and 8.58%
Explanation:
given data
beginning share price = $50
time = 3 year
end year 1 prices = $62
end year 2 prices = $58
end year 3 prices = $64
to find out
arithmetic average annual rate of return and the geometric average annual rate of return
solution
we get here return for each period that is express as
Period 1 =
...........1
Period 1 = 
Period 1 = 24%
and
Period 2 = 
Period 2 = Period 1 = 
Period 2 = -6.45%
and
Period 3 = 
Period 3 = 
Period 3 = 10.34%
so
here Arithmetic average rate of return will be
Arithmetic average rate of return = (24% + -6.45% + 10.34%) ÷ 3
Arithmetic average rate of return = 9.30%
and
geometric average annual rate of return will be here as
geometric average annual rate of return =
- 1 ................2
geometric average annual rate of return =
- 1
geometric average annual rate of return = 8.58%
<h2>Question:</h2>
This organizational structure violates the unity of
command principles because of dual reporting
relationship.
<h2>Answer:</h2>
<u>C</u><u>.</u><u> </u><u>Matrix</u><u> </u><u>Organization</u><u> </u>
<h2>
Explanation:</h2>
That's my opinion and I hope it helps ^_^
<h2><u>#CARRYONLEARNING</u><u> </u></h2><h2><u>#STUDYWELL</u><u> </u></h2>
Answer: must offer higher
Explanation:
The financial world of investment is inter-correlated and products can sometimes be substitutes for one another. What this means is that if one financial product is not offering enough return on investment or is risky or for any other reason shakes their confidence in it, then investors tend to run to financial products that are perceived as better.
This is why when interest rates are stable and stocks are volatile, stock markets tend to lose value and bond markets sometimes gain value as investors leave the stock market and come to the bond market.
In the scenario described, the interest rate in the money market is 5%. If interest bearing financial assets are only at 2%, investors will leave/ not invest in those interest bearing bonds because the rate is lower. The sellers of such assets will therefore have to make them more attractive by increasing the the interest rates to find willing buyers.
The third one is most appropriate ! as it shows that the money can be stored and later we can use !
Answer:
Common Stock $10,000 and Paid-in Capital in Excess of Par Value $2,000
Explanation:
The journal entry to record the issuance of common stock is presented below:
Cash A/c Dr $12,000 (1,000 shares × $12)
To Common Stock $10,000 ($1,000-× $10)
To Additional Paid-in Capital in excess of par - Common Stock $2,000
(Being the issuance of stock is reported and the remaining balance i.e $2,000 is credited to the additional paid-in capital account)
While issuing the stock, we debited the cash account as there is a cash inflow and credited the common stock and additional paid-in capital account as the share is issued which affect the stockholder equity