A. I went to fourth grade however, that was a long time ago
Venture capitalists provide funds to small businesses, especially young ones, with a good amount of growth potential. They tend to get a decent share of ownership in the company in exchange of the investment that they made, and can serve as a very important support for the small business.
Answer:
All of the choices are correct.
Explanation:
GAAP is an acronym for Generally Accepted Accounting Principles, it comprises of the accounting standard, procedures and principles used by public institutions in the United States of America. The U.S GAAP is issued by the Financial Accounting Standards Board (FASB) and adopted by the U.S. Securities and Exchange Commission (SEC).
GAAP includes each of the following pronouncements:
Statements of Financial Accounting Standards, Accounting Research Bulletins, Accounting Principles Board Opinions.
For external reporting purposes, United States of America, Generally Accepted Accounting Principles (GAAP) allows companies to use only the traditional format of the income statement.
United States of America, Generally Accepted Accounting Principles (GAAP) is the accounting principles, procedures and standard issued by the Financial Accounting Standards Board (FASB) and adopted by the United States of America, Securities and Exchange Commission (SEC).
When accountants prepare and compile financial statements for public firms, it must be in line with United States of America, Generally Accepted Accounting Principles (GAAP).
Answer:
Cash 635000
Notes Payable 635000
Explanation:
As per the data given in the question,
The journal entry for issuance of the note is
Cash $635,000
To Notes payable $635,000
(Being the issuance of the note is recorded)
Here, Cash will increase the assets value and Notes payable will increase the liabilities value so both the accounts are debited and credited respectively.
Therefore, option C is correct
Answer:
II. Including human capital in the market portfolio
Explanation:
Beta refers is a measure of systematic risk of a portfolio which is defined as degree of responsiveness of security return with that of the market return.
Market portfolio represents, the rate of return all the securities in the market currently earn. An investor would require excess of market portfolio return over risk free rate of return, based upon the sensitivity of portfolio return to market return i.e beta.
Jagannathan and Wang conducted a study testing capital asset pricing model which was developed by William Sharpe and John Lintner.
Under their study, Jagannath and Wang included human capital beta in the market portfolio. while evaluating returns from a hundred stocks portfolio. They observed, the coefficient of determination i.e
rose from 2% to 75% upon addition of human capital.
Thus, the method found how beta performance in explaining security returns could be enhanced upon inclusion of human capital.