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kompoz [17]
3 years ago
13

"Of the risk management strategies, _________________ refers to the act of not engaging in actions that lead to risk, whereas __

__________________refers to acquiescence in regard to the risks of particular actions as well as their potential results"
Business
1 answer:
Gelneren [198K]3 years ago
4 0

Answer:

The correct words for the blank spaces are: risk avoidance; risk acceptance.

Explanation:

Risk avoidance refers to not taking any action related to risk. This is the most radical way of avoiding risks and implies missing all chances of obtaining benefits from investing. Risk acceptance requires the analysis of the losses and gains an investment carries. When the potential losses are smaller than the benefits of assuming the investment, it would be rational to go ahead and take the risk. The opposite happens if the potential losses are greater than the potential benefits.

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Which of the following best describes the difference between a convertible bond and a warrant? Convertible bonds give the invest
levacccp [35]

Answer: Statement A

Explanation: Convertible bonds is a type of bond security which gives its holder the right to convert each bond to a specified number of shares. These are hybrid securities having features of both equity and debt.

.

Warrants are securities that give their holder the right to purchase the common shares of the company at a specified price and before a certain time period.

.

Thus, from the above explanation we can conclude that statement A is correct.

4 0
3 years ago
The rules of debit and credit for expense accounts are the same as the rules for asset accounts. true or false
zepelin [54]
True hope this helps!!
8 0
4 years ago
A group of friends decided to divide the $800 cost of a trip equally among themselves. when two of the friends decided not to go
kykrilka [37]

Answer:

They were 10 friend

Explanation:

We can construct the equation system as follows:

\left \{ {{\frac{800}{friends} = a} \atop {\frac{800}{friends - 2} = a + 20}} \right.

we can solve for the number of friend by using subtritution:

\frac{800}{friends - 2} = \frac{800}{friends} + 20

800 = (\frac{800}{friends} + 20) \times (friends - 2)

800 = 800 - \frac{1600}{friends} + 20friends - 40

40 = 20 friends - 1600friends

friends(40 - 20 friends) +1,600 = 0

-20f^{2} + 40f + 1,600 = 0

we get a quadratic formula we solve for the positive root

f = 10

We know check if the root is correct:

800 / 10 = 80

800 / (10 - 2) = 100

8 0
4 years ago
The standard deviation of the market-index portfolio is 25%. Stock A has a beta of 1.80 and a residual standard deviation of 35%
kap26 [50]

Answer:

0.2925

Explanation:

Total variance = Systematic variance + Residual variance

= (β^2)Var(rM) + Var(e)

Where beta β= 1.80 and

residual standard deviation σ(e) = 0.35,

variance = (1.80^2)×0.25^2 + 0.3^2= .

=3.24 × 0.0625 + 0.09

= 0.2925

7 0
3 years ago
How to solve the time value of money problems​
erastova [34]

Answer:

The Time Value of Money formula is FV = PV x [ 1 + (i / n) ] (n x t)] where V is the Future value of money, PV is the Present value of money, i is the interest rate, n is the number of impounding periods per year, and t is the number of years.

8 0
2 years ago
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