Answer:
Description 2017 2016 2015
Net Income $146,402 $107,281 $123,114
Explanation:
The question is to compute a statement of income comparative figures. The step is therefore to use the weighted average pricing method to replace the historical income before taxes for both years 2016 and 2015. After this is done, we then re-calculate the appropriate taxes and arrive at the net income.
Description 2017 2016 2015
Income before taxes 206,200 151,100 173,400
Subtract: Income tax @29% 59,798 43,819 50,286
Net Income 146,402 107,281 123,114
The statement, investor perception on the risk of bonds will raise their desired return is true.
The higher an investment's risk, the greater its potential returns should be. By contrast, a very safe and low-risk investment should generally offer low returns. So, this investor perception will raise the desired return of the risk of bonds.
Generally, the higher the potential return of an investment, the higher the risk. Thus, there is no guarantee that you will actually get a higher return by accepting more risk. In this matter diversification is useful.
Hence, you can minimize the risk by making sure the company's bond you own is not a high risk company with a high probability of paying back.
To learn more about risk of bonds here:
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Answer:
GDP equals $1455, answer is D
Explanation:
GDP = Consumption + Investment + Net exports + Private saving - National saving + Taxes
GDP = 1000 + 200 - 50 + 225 - 150 + 230
GDP = 1,455
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