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Sveta_85 [38]
3 years ago
14

Evaluate the following investment options by comparing their risk and liquidity: buying a franchise real estate (buying property

) mutual fund Which of the three investment alternatives is the best for you? Explain the reasons for your choice.
Business
1 answer:
Gala2k [10]3 years ago
8 0

Answer:

Buying a franchise: For me, this is the riskiest investment, because the success of the business depends on the product or service it sells. If there is no demand for the product or service, the business will go under. This investment is also highly illiquid—in addition, finding someone willing to buy a business is difficult.

Mutual fund: This is the least risky of the three investment options. It is highly liquid compared to buying a franchise or real estate. Mutual fund investors can easily cash in their investments by selling the units they hold in a fund at the current market price.

Real estate: Real estate is a risky investment. First, property prices can fall in a depressed housing market. Second, real estate properties are illiquid. They can’t be sold quickly for a good price, especially in times of recession in the housing market or in the overall economy.

A mutual fund is the best of the three investment options for me, for the following reasons:

I can invest small amounts of money regularly and get higher returns on the investment than I would from a savings account. Also, this is a highly liquid investment. In case of a financial emergency, I can quickly sell my mutual fund units at their current market price.

Real estate is currently both a risky and illiquid investment, because of poor market conditions.

Buying a franchise is not a good option for me, because I don’t plan to go into business. In any case, I don’t have the money to make this investment.

Explanation: PLATO

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The inventory data for an item for November are: Nov. 1 Inventory 20 units at $19 4 Sale 10 units 10 Purchase 30 units at $20 17
kolezko [41]

Answer:

=  $490

Explanation:

<em>Under the </em><em>First-in-First-Out  </em>( FIFO ) <em>method of inventory valuation,  inventories are valued using the price of the earliest batch in stock until the batch is exhausted when the price of the next oldest batch is used and so on.</em>

Date     sale units       Workings                         Value

              10                    10 × $19                              190

               20        (10 × $19)+( 10 × $20)                  390

The cost o he merchandise = $190 + $390

                                             =  $490

8 0
3 years ago
One of the most dramatic changes in connectivity and communications in the past few years has been _______.
bekas [8.4K]

The right phrase to fill the blank is: widespread use of mobile devices with wireless internet connectivity.

This is one of the major changes that have occurred in recent years, where we no longer have to access internet from local area network connection which requires a cable for you to connect to the internet and a computer is no longer necessary to be able to use it as well.

5 0
3 years ago
What is the meaning of remittance
HACTEHA [7]
<span>a sum of money sent or in payment for goods or services or as a gift.
</span>
5 0
3 years ago
Read 2 more answers
The advertised claim for batteries for cell phones is set at 48 operating hours, with proper charging procedures. a study of 500
gregori [183]

Answer:

The answer is NO. The experimental results did not support the claim that less than 0.2 percent of the company's batteries would fail during the advertised time period.

Explanation:

From the illustration, for 15 batteries to fail out of 5000 batteries that means a 0.3 percent failure. Hypothetically, since there has been a claim that about 0.2 per cent will fail and we now have a confirmed failure rate of 15 in 5000 or 0.3 per cent rate, then we can infer that the hypothesis of 0.2 percent may be incorrect after all since it is still less than the confirmed rate of 0.3 per cent failure. Thus, since 0.3 rate is higher than 0.2 rate, then the hypothesis is wrong by a margin  of 0.1 percent.

5 0
3 years ago
Dana and Emile allocate​ 2/3 of their​ partnership's profits and losses to Dana and​ 1/3 to Emile. The net income of the firm is
Usimov [2.4K]

Answer:

Debit income summary $30,00

Explanation:

Closing entries are used to move balances from temporary accounts to permanent baccounts so that a business can recognise income or loss made during an accounting period.

2/3 profit and loss is for Dana, that is (2/3)* 30,000= $20,000

1/3 of profit is assigned to Emile that is (1/3)* 30,000= $10,000

So the close out entries will be

A debit to income summary of $30,000

A credit to Dana of $20,000

A credit to Emile of $10,000

6 0
2 years ago
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