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vovikov84 [41]
3 years ago
8

An analyst estimates the index model for a stock using regression analysis involving total returns, not the excess return. The e

stimated intercept in the regression equation is 6% and the β is 0.5. The risk-free rate of return is 12%. The true β of the stock is
Business
2 answers:
Angelina_Jolie [31]3 years ago
7 0

Answer:

The true β of the stock is 0%

Explanation:

6% = a + 12% (1 − 0.5); a = 0%.

insens350 [35]3 years ago
6 0

Answer:

The true β of the stock is 0

Explanation:

The regression equation for the stock would be given as,

y = βo + β1X1

The information given to us in the question is:

y = 6%

βo = 12%

X1 = (1 - 0.5)

Putting the information in the equation,

6% = a + 12% (1 - 0.5);

6% = a + 6%

a = 6% - 6%

a = 0

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Gina Morales had taxable income of $35,950 in 2020. She will file a return using the single filing status. Her income consisted
valina [46]

The applicable tax rate to Gina's qualified dividends is 0%.

Gina's qualified dividends of $2,000 are below the threshold for long-term capital rates of 15% and 20%.  Based on Gina's single filing status with a taxable income of $35,950, which falls under the 12% taxable income bracket, she will not be paying any tax on her qualified dividends.  But she must still disclose the qualified dividend income on her tax form.

Thus, the tax rate that applies to Gina's qualified dividends is 0%.

Learn more: brainly.com/question/14080241

3 0
3 years ago
If a bank purchases a security from the Federal Reserve System, reserves in the banking system ________ and the monetary base __
lbvjy [14]

Purchase of a security by the bank will decrease the reserves in the banking and as a result the monetary base will also decrease.

<u>Explanation:</u>

The federal reserve system is the central bank of the United States of America. It has certain measures under it's control to manage the supply of money in the economy.

One of those measures is the purchase and the selling of the securities. If the security is purchased by the bank from the Federal reserve system, it will decrease the money reserve in the banks. As a result of this the monetary base will decrease in the country also.

5 0
4 years ago
Mrs. Jones has repeatedly attempted to reduce Jonathon’s behavior of rushing through his daily worksheets. His behavior results
8090 [49]

Answer:

The answer is: DRO or positive reinforcements

Explanation:

Differential Reinforcement Procedures (DRO) is being used by Mrs. Jones by rewarding (reinforcing) Jonathon if he doesn't turn in illegible or poorly done worksheets.

This means that the absence of an undesirable behavior will be reinforced (rewarded).

8 0
4 years ago
Pinewood Department Store reported the following information for 2020: October November December Budgeted sales $1,300,000 $1,60
Elanso [62]

Answer:

$1,420,000

Explanation:

Total sales of October = $1,300,000. Collected in November = (60% of 1,300,000) = $780,000

November sales = $1,600,000. 40% sales of November = $640,000

Total cash collection = $780,000 + $760,000

Total cash collection = $1,420,000

So, the cash that Pinewood will receive in November is $1,420,000.

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3 years ago
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Alecsey [184]
I think it’s true but I’m sorry If I’m wrong
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