Answer:
B.Dependent care plans can only be used to cover the costs of caring for a dependent child
Explanation:
Dependent Care with the high cost of child care these days a Dependent Care Account makes it easy to save on taxes.
Answer:
Limitation of the BCG model include;
• Market share and industry growth are not the only factors of profitability.
• Business can only be classified to four quadrants.
• It does not define what ‘market’ is.
• Does not include other external factors that may change the situation completely.
Explanation:
Necessary steps managers should take to overcome the limitations;
• BCG matrix can be used to analyze SBUs, separate brands, products or a firm as a unit itself. Which unit will be chosen will have an impact on the whole analysis.
• It is important to clearly define the market to better understand firm’s portfolio position.
The error of Naomi is that she included the receipts of interest, receipts of dividends, and proceeds from planned sales of plant assets in the cash receipts section. This section would only include the cash sales and collection of accounts receivable with the forecasted sales per month of the company. As a result of this error, the cash receipts would be too high.
Answer:
e. 10.0%
Explanation:
Using the capital asset pricing model we have:
Required return = Rf + beta 
(Rm - Rf)
Where Rf = Risk free return
Rm = Market return
Beta = Beta coefficient
Provided,
Partridge Plastic Stock's information as:
Beta = 1.4
Required return = 13%
Risk free rate = 6%
Putting values in equation, we will get market rate of return
13% = 6% + 1.4 (Rm - 6%)
= Rm - 6%
5% = Rm - 6%
11% = Rm
Now putting this value in equation for information provided for Cleaver Motor's Stock
Required return = 6% + 0.8 (11% - 6%)
= 6% + 4%
= 10%
