Answer:the firm should increase price
Explanation:
From the question there is a shortage i.e Demand is greater than Supply, the firm should increase the price of the product which would induce suppliers to increase their supply.
The increase in price would lead to a movement along the demand curve with would in turn correct the disequilibrium.
Answer:
b Design and Pre-Construction
Explanation:
Answer:
negative externality
Explanation:
A product can be defined as any physical object or material that typically satisfy and meets the demands, needs or wants of customers. Some examples of a product are mobile phones, television, microphone, microwave oven, bread, pencil, freezer, beverages, soft drinks etc.
In Economics, a positive externality arises when the production or consumption of a finished product or service has a significant impact or benefits to a third party that isn't directly involved in the transaction.
On the other hand, a negative externality arises when the production or consumption of a finished product or service has a negative effect and/or impact (cost) on a third party.
This ultimately implies that, a negative externality is generated when a third party receives or bears an unwarranted cost. Some examples of a negative externality is John declining to buy his favorite candy due to an increase in its price, a manufacturing plant that causes noise and pollution to the people living around where it is situated, etc.
Question (in proper order)
If the simple CAPM is valid and all portfolios are priced correctly, which of the situations below is possible? Consider each situation independently, and assume the risk-free rate is 5%.
A)
Portfolio Expected Return Beta
A 11 % 1.1
Market 11 % 1.0
B)
Portfolio Expected Return Standard Deviation
A 14 % 11 %
Market 9 % 19 %
C)
Portfolio Expected Return Beta
A 14 % 1.1
Market 9 % 1.0
D)
Portfolio Expected Return Beta
A 17.6 % 2.1
Market 11 % 1.0
Option A
Option B
Option C
Option D
Answer and Explanation:
A) As Per CAPM
Expected Return = Risk free rate + Beta × (Market Return - Risk free Rate)
= 5% + 1.1 × (11% - 5%)
= 11.60%
(Portfolio is not correctly Priced)
B) Standard Deviation alone cannot determine expected return using CAPM
C) As Per CAPM
Expected Return = Risk free rate + Beta × (Market Return - Risk free Rate)
= 5% + 1.1 × (9% - 5%) = 9.40%
(Portfolio is not correctly Priced)
D) As Per CAPM
Expected Return = Risk free rate + Beta × (Market Return - Risk free Rate)
= 5% + 2.1 × (11% - 5%) = 17.60%
Required Rate and Expected Return of Portfolio are Same
(Portfolio is correctly Priced)
Option D is correct option
Answer:
c) A Special Warranty Deed
Explanation:
First, the multiple options for the question
a)A quitclaim deed
b) A sheriff's deed
c) A special warranty deed
d) A partition deed
Warranty deeds are documents used mostly in the sales of real estate properties either commercial or residential. It is most useful when the transfer or sale of property is done between parties that are not familiar with one another. The two types of warranty deeds are General Warranty Deed and the Special Warranty Deed. The coverage guaranteed is the difference between the two types of warranty deeds.
In using a special warranty deed, the seller who is also the grantor of the warrant, only guarantees against issues, damages and defects that occur during the grantor's physical ownership of the property. This type of warrant does not make assurances or guarantees for defects in title on the proprty and defects that occured before ownership of the property. It is also called grant deed or covenant deed.
General Warranty on the other hand covers all issues, damages and defects on the sold property.
Since, the person only wishes to convey all interests without warrants on liens, encumrances and any other title defect, the deed is the Special Warranty Deed