Answer:
The portfolio with a beta of 1.38 should earn the most risk premium based on CAPM.
The correct answer is B
Explanation:
A diversified portfolio with returns similar to the overall market will not earn the most risk premium because its beta is equal to 1.
A stock with a beta of 1.38 produces the most risk premium because any stock with the highest beta gives the highest risk-premium. This is the correct answer.
A stock with a beta of 0.74 does not provide the highest risk premium.
Us treasury bill does not provide any risk premium since it is the risk-free rate.
A portfolio with a beta of 1.01 does not produce the highest risk premium.
The careers where an individual can be self employed include:
- Greenhouse manager.
- Animal breeder
- Baker.
- Agricultural equipment operator.
A self-employed person simply means an individual who earns their living from any independent pursuit of economic activity.
It's the state of working for oneself. Examples include greenhouse manager, animal breeder, baker, and gricultural equipment operator.
Learn more about self employment on:
brainly.com/question/25803149
Answer:
Laser Delivery Services, Inc. (LDS)
Analyzing the Effects of Transactions Using T-Accounts:
Cash
Date Accounts Titles Debit Credit
a. Common Stock $40,000
c. Delivery Truck $2,000
d. Delivery Truck 2,000
Balance 36,000
Common Stock
Date Accounts Titles Debit Credit
a. Cash $40,000
Land
Date Accounts Titles Debit Credit
b. Note Payable $12,000
Note Payable
Date Accounts Titles Debit Credit
b. Land $12,000
c. Delivery Truck 18,000
Balance $30,000
Delivery Trucks
Date Accounts Titles Debit Credit
c. Cash $2,000
Note Payable 18,000
d. Cash 2,000
Balance $22,000
2. Classified Balance Sheet as of December 31, 2010:
Assets:
Cash $36,000
Land 12,000
Delivery trucks 22,000 $34,000
Total assets $70,000
Liabilities + Equity:
Notes Payable 30,000
Common Stock $40,000
Total liabilities + Equity $70,000
Explanation:
a) Trial Balance
Cash $36,000
Land 12,000
Delivery trucks 22,000
Common Stock $40,000
Notes Payable 30,000
Totals $70,000 $70,000
b) Business transactions affect the accounting equation (assets = liabilities + equity) by increasing or decreasing the two sides equally. This means that the accounting equation is always in balance before and after every transaction.
If your unemployment rate is high, that means you're making less money in all. If many people are without jobs, that means your labor force is also weak. Your employers will make a lot of cutbacks.
Answer:
$7,380
Explanation:
The computation of the interest expense is shown below:
= Issued value of the bond × rate of interest × number of months ÷ total number of months in a year
= $82,000 × 12% × 9 months ÷ 12 months
= $7,380
Note: This is the answer but the same is not mentioned in the given options.
Basically we multiplied the issued value with the interest rate and the time period in months