Answer:
true
Explanation:
Assume, original stock was A. Now a new stock B is added.
Weight of Stock A in the portfolio=Wa
Weight of Stock B in the portfolio=Wb
Standard Deviation of Stock A=Sa
Standard Deviation of Stock B=Sb
Cova,b=Covariance between Aand B
Portfolio Variance=(Wa^2)*(Sa^2)+(Wb^2*Sb^2)+2*(Wa*Wb*Cova,b)
Correlation between A &B=(Cova,b/Sa*Sb)
Cova,b=Sa*Sb*(Correlation between A&B)
Hence,higher the correlation between A&B, higher will be the covariance (Cova,b).
Hence higher will be the Portfolio variance.
So, the reduction of risk will be lower.
Answer:
Letter d is correct. <u>Employees, management, customers, owners, suppliers and local community.</u>
Explanation:
Stakeholders is a strategic audience of the organization, ie, it is the set of company stakeholders that encompass the internal and external organizational environment. They are the employees, management, customers, owners, suppliers and local community.
It is essential for the company to know its audience, what their motivations, perceptions and values are, as they are responsible for business motivations and organizational success in the short and long term.
Organizational actions and policies will directly influence stakeholders, and the ideal is for the company to implement corporate governance practices to positively influence its audience and ensure competitive and strategic market advantages.
Answer:
The investors will receive $343,750
Explanation:
In order to calculate the amount each class of investors receive we would have to calulate first the Balance available for Investors as follows:
Balance available for Investors=Total funds received -Trustee’s cost
Balance available for Investors=$2,500,000
-$281,250
Balance available for Investors =$2,218,750
Therefore, Balance available for stock holder=Balance available for Investors-Payment to Accounts payable-Notes Payable-Subordinated debentures
Balance available for stock holder=$2,218,750
- $375,000
-$750,000
- $750,000
Balance available for stock holder= $343,750
The investors will receive $343,750
Answer:
$17200
Explanation:
A balanced sheet is a statement of financial position that list the assets , liabilities and equities of an organization.
The items that affect the current asset (cash)balance in the balanced sheet for the month in the question are Cash book balance , deposit outstanding and check outstanding.
Cash book balance - 19700
Deposit outstanding - 1800
Less check outstanding - (4300)
17200
Answer and Explanation:
In an action based on strict liability, a plaintiff must show that
(1) a product was defective,
(2) the defendant was in the business of distributing the product,
(3) the product was unreasonably dangerous due to the defect,
(4) the plaintiff suffered harm,
(5) the defect was the proximate cause of the harm, and
(6) the goods were not substantially changed from the time they were sold.
A plaintiff does not have to show that there was a failure to exercise due care, and this distinguishes an action based on strict liability from an action based on negligence, which requires proof of a lack of due care. If Bob establishes his case, the court in this problem is most likely to rule in his favor, because the manufacturer is strictly liable in this case. Strict liability allows a plaintiff to recover damages for injuries resulting from product defects without proof of fault.