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kolbaska11 [484]
3 years ago
6

You expect General Motors (GM) to have a beta of 1.5 over the next year and the beta of Exxon Mobil (XOM) to be 1.9 over the nex

t year. Also, you expect the volatility of General Motors to be 50% and that of Exxon Mobil to be 35% over the next year. Which stock has more systematic risk? Which stock has more total risk?
Business
1 answer:
kifflom [539]3 years ago
8 0

Answer:

Which stock has more systematic risk?

  • Exxon Mobil (XOM)

Which stock has more total risk?

  • General Motors (GM)

Explanation:

Systematic risk refers basically to the stock's risk compared to the market risk, when the stock's beta = 1, its systematic risk is the same as the market risk. In this case, since XOM has a larger beta than GM, then its systematic risk is higher.

To calculate which stock has a higher total risk I just multiply the stock's beta times the expected volatility, and GM's risk is higher.

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Marty is collaborating with collegues to plan a surprise party for their boss. Marty does not add an ideas to the party but choo
Oksi-84 [34.3K]

Answer:

a passive

Explanation:

Passive behavior is when an individual decides not to act or react but follow what others want. In passive, an individual does not express their feeling or thoughts. They remain inactive and allows others to take control. behavior

Marty attended the meeting but decided not to make any contributions. By deciding to follow the flow, he exhibited passive behavior. Marty felt angry because he failed to express his honest feelings, thoughts, and beliefs. He violated his rights to speak and be heard.

3 0
2 years ago
Benefit corporations differ from traditional corporations in three main ways. The main purpose is to benefit the ___ , so direct
MAXImum [283]

Here are the complete sentences:

The main purpose is to benefit the PUBLIC, so the directors must consider the impacts of their decisions on society and the ENVIRONMENT. Shareholders have an additional right to private action called a DERIVATIVE SUIT, that allow them to sue the corporation for failure to pursue the purpose. Finally, benefit corporations must issue an annual BENEFIT REPORT on its performance and include a third party standard of assessment.

Explanation:

A Benefit corporation refers to a type of corporation that is established to create value for both the society and the environment in which it is located. Although, one of the goal of the company is to make profits, it differs from a traditional corporation because, it is main purpose it to add value and provide benefits for those that are connected to it.

Thus, the major purpose of a benefit corporation is to add values to the public and the environment. In order to ensure that this goal is kept in view, the corporation has to publish benefit report every year, in order to show their performance and their adherence to the company goals. The report must be endorsed by a third party in order to show that its contents are true and accurate.  

Learn more about corporation on: brainly.com/question/12293968.

#learnwithBrainly.

6 0
3 years ago
Read 2 more answers
On October 1, 2018, Renfro Company purchased to hold to maturity, 4,000, $1,000, 9% bonds for $3,960,000 which includes $60,000
Nataliya [291]

Answer:

Carrying Value=$3,903,000

Explanation:

First we will calculate the face value:

Face value=4000*$1000

Face value=$4,000,000

Purchase Price= Bond Purchased price- Accrued Interest

Purchase Price=$3,960,000-$60,000

Purchase Price=$3,900,000

Total months=100 months

Straight line Discount amortization= (Face Value-Purchase Price)/Total Months

Straight line Discount amortization=($4,000,000-$3,900,000)/100

Straight line Discount amortization=$1,000

Discount Amortization=Straight line Discount amortization*Discount months

Discount Amortization=$1,000*3

Discount Amortization=$3,000.

Carrying Value=Purchase Price+Discount Amortization

Carrying Value=$3,900,000+$3,000

Carrying Value=$3,903,000

7 0
3 years ago
A company has four vendors and the accounts payable subsidiary ledger shows the following balances.
Luba_88 [7]

Answer:

Explanation:shdfbddvddvddvdhdhdh

7 0
3 years ago
Seth, Janice, and Lori each borrow 5,000 for five years at an annual nominal interest rate of 12%, compounded semi-annually. Set
Margaret [11]

Answer:

The total amount of interest paid on all three loans is 8,748.

Explanation:

Each person has borrowed 5,000 for the same period and with the same interest rate. However, the repayment is made differently by each person.

We calculate the interest paid by each person, and then sum up the three interest payments.

Seth pays = [5000 x (1 + 0.12/2)^10] - 5000 = 3,954

Janice pays = 5,000 X 0.06 x 10 = 3,000

Lori pays = [(5,000 x 10) / 7.36] - 5,000 = 1,794

Total interest payment = 3,954 + 3,000 + 1,794 = 8,748  

3 0
3 years ago
Read 2 more answers
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