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marusya05 [52]
3 years ago
14

Suppose Binder corporatio's common stock has a return of 17.61 percent. The risk-free rate is 3.68 percent, the market return is

12.4 percent and there is no unsystematic risk affecting Binder's return. Given the one-factor arbitrage pricing model, what is the factor beta
Business
1 answer:
katrin2010 [14]3 years ago
4 0

Answer:

1.597

Explanation:

The computation of the factor beta using the one-factor arbitrage pricing model is shown below:

As we know that

= (Expected rate of return - risk-free rate of return) ÷ (market rate of return-risk-free rate of return)

= (17.61% - 3.68%) ÷ (12.4% - 3.68%)

= 1.597

We simply applied the above formula to determine the factor beta and the same is to be considered

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Answer:

The correct answer is decrease; increase.

Explanation:

The "Buy American" law was passed in 1933 and established that the US federal government. UU. You must prioritize the purchase of products manufactured in the country. Under certain circumstances, however, the "Buy American" law may not apply when:

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3 years ago
The majority of sports income is generated by ticket sales to games.
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1 year ago
Quirch Inc. manufactures machine parts for aircraft engines. The CEO, Chucky Valters, was considering an offer from a subcontrac
Brilliant_brown [7]

Answer:

Supplier's quotation (2,400 x $6.25)                     150,000

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Direct material (2,400 x $31)                 74,400

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Variable overhead (2,400 x $9)             <u>21,600</u>       <u>139,200</u>

Savings                                                                       <u> 10,800</u>

The parts should be produced in-house since the relevant cost of production is lower than supplier's quotation.

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In this case, we need to compare supplier's quotation to the relevant cost of production. The price of $6.25 above was computed by dividing the total price charged by the supplier by the number of parts. Moreso, the relevant cost of production is obtained by the aggregate of direct material, direct labour and variable overhead.

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An overview of the company's operations for a specific time period is provided in the income statement. The revenue (gross and net sales), cost of products sold, operational expenditures (selling and general and administrative expenses), taxes, and net profit or loss are the statement's primary components.

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learn more about firm's income statement here <u>brainly.com/question/14733237</u>

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IgorC [24]

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3 years ago
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