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3 years ago

What is the relationship between risk and return?

Business

1 answer:

PolarNik [594]3 years ago

8 0

Answer: A higher risk often means a higher return.

Explanation: Risk can be defined as the potential effect of an event, determined by combining the likelihood of the event occurring with the effect that it should occur.

Return can be defined as a gain or loss from an investment.

The relationship between risk and return is that the higher the risk, the higher the returns, however, a higher risk has a potential for loss. Hence, the word often in the statement "A higher risk often means a higher return."

A lower risk does not always mean a lower return, a lower risk has a potential for a higher return.

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Prior to recording the following, Elite Electronics, Incorporated, had a credit balance of $2,000 in its Allowance for Doubtful

OleMash [197]

Elite Electronics, Incorporated

JOURNAL ENTRY :

Aug 31

Dr Allowance for Doubtful Accounts a/c 300

Cr Account Receivable. a/c 300

( To record write off Account Receivable)

Dec 15

Dr Account Receivable a/c 300

Cr Allowance for Doubtful Accounts 300

( To record reinstate the accounts receivable)

Dec 15

DR Cash a/c 300

CR Account Receivable a/c 300

( To record Payment received)

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3 years ago

Read 2 more answers

From this cartoon you can infer that the cartoonist:______. A) believes that England and Japan will soon be at war. B) opposes U

Sergeu [11.5K]

Answer:

The Cartoon depicts the Head of Government of the USA with hands tied being pulled from 4 different ends of the world

2 Nations stand out, England & Japan who were part of the 4 permanent Member States, (Italy and France make up the balance); whilst European Nations and Foreign Governments are depicted to also pulling at the President.

The Cartoonist opposes U.S Participation in the League of Nations

Explanation:

This is a Post World War 1 Cartoon

As part of the Versailles Treaty from the Paris conference of 1919 a League of Nations was to be formed comprising of the World Powers at the time. Members were expected to respect the sovereignty of other countries and completely discourage the deployment of Military campaigns against other countries

The President of the USA at the time President Woodrow Wilson believed so much in the Vision of the League of Nations but was constrained from having America join because of the overwhelming stand against America's involvement by the isolationist movement in the congress.

The Isolationist movement was specifically against the item X of the League's covenant which required Member nations to support other Nations in the face of an aggression from another. The interpretation of this was that the USA would be completely surrendering its sovereignty and would remain a tool for International Conflicts resolution by deploying men and war equipment as was the case with World War I.

The President is seen in the cartoon firmly rooted to USA ideals albeit opposed to his Vision of joining the League of Nations.

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3 years ago

This year henry realized a gain on the sale of an antique car that he inherited from his uncle. the buyer has promised to pay he

Kruka [31]

The answer to this question is Wherewithal to pay
In the wherewithal to pay concept, the Income will be recognized in the period in which the company has the means to pay the tax on the income. Often times, company make their report to show a loss on purpose in order to postpone the tax payments

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3 years ago

What is 55 billion expressed in scientific notation?

iogann1982 [59]

55 x 10^9 hope this helped :D

7 0

3 years ago

Read 2 more answers

Many small firms seek to establish a particular niche in the market, realizing that they cannot afford to operate on a larger sc

nadya68 [22]

Answer:

fostering competition

Explanation:

By deciding to focus on a particular niche these smaller firms in effect foster competitions among other larger firms.

For example, if in a market for shoes, a small firm A, that is newly established decides to focus only on selling shoes for children after recognizing they cannot match up with an existing larger company B that sells a variety of shoes (both children and adult shoes). At a point in time when a number of small businesses are operating in this manner, the larger companies would recognize and account for their influence on the market.

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2 years ago