1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
guapka [62]
3 years ago
13

A benchmark market value index is comprised of three stocks. Yesterday the three stocks were priced at $30, $38, and $90. The nu

mber of outstanding shares for each is 710 thousands shares, 610 thousands shares, and 310 thousands shares, respectively. If the stock prices changed to $34, $36, and $92 today respectively, what is the one-day rate of return on the index
Business
1 answer:
galina1969 [7]3 years ago
3 0

Answer:

The one-day rate of return on the index is 3.43%

Explanation:

Given that the shares were priced at;

$30    for    710,000 shares

$38    for    610,000 shares

$90    for    310,000 shares

Changes in prices of shares

$34-$30=4

$36-$38= -2

$92-$90=2

Return=change in price of shares/initial price of shares *100

The return will be;

4/30*100 =13.33

-2/38*100= -5.26

2/90*100 = 2.22

Total = 13.33+2.22 - 5.26 =10.29

10.29/3 =3.43

You might be interested in
With the recent surge in the showing of commercials to movie theater audiences, many companies have found it to be an innovative
inysia [295]

Answer:

Self selection.

Explanation:

Marketing can be defined as the process of developing promotional techniques and sales strategies by a firm, so as to enhance the availability of goods and services to meet the needs of the end users or consumers through advertising and market research. Thus, it comprises of all the activities such as, identifying, anticipating set of medium and processes for creating, promoting, delivering, and exchanging goods and services that has value for customers. It typically, involves understanding customer needs, building and maintaining healthy relationships with them in order to scale up your business.

Advertisement refers to the promotional multimedia messages designed and developed to make the products or services of a company known to its customers and potential customers.

In this scenario, advertising relies on self selection.

5 0
3 years ago
Three categories of activities (operating, investing, and financing) generate or use the cash flow in a company. In the followin
Marat540 [252]

Answer:

a. Yum Co. uses cash to repurchase 10% of its common stock. (Financing activity)

b. DigiInk Printing Co. buys new machinery to ramp up its production capacity. (Investing activity)

c. D and W Co. sells its last season’s inventory to a discount store. (Operating activity)

d. A company records a loss of $70,000 on the sale of its outdated inventory. (Operating activity)

Explanation:

Cash flow statement shows how cash is used and obtained in a business. There are different activities that influence cash flow. Below are the activities:

- Operating activities are those that include normal business operations like buying and selling of inventory, interest payments, and salaries.

- Investing activities involves use of cash for investment like purchase or sale of assets, merger and acquisitions payments, and purchase of equipment.

- Financing activities includes cash used to purchase or sell equity such as shares, payment of dividends, and repayment of principal from debt

3 0
3 years ago
Which category of risk is often managed by purchasing insurance?
____ [38]

Answer:

hazard risk.

Explanation:

When someone buys risk insurance, they aim to protect themselves against disaster risk. The insurance protects against risks of natural disasters, landslides, fires, and others that are provided for in policies. Through insurance, the individual will receive a financial amount to cover any damage provided for in the contract.

4 0
3 years ago
Help!!
11Alexandr11 [23.1K]

Answer:

-Checking accounts almost never generate interest.

-It's much easier to spend money from a checking account.

have a nice day!

4 0
3 years ago
Sweet manufacturing is planning to sell 400,000 hammers for $6 per unit. the contribution margin ratio is 20%. if sweet will bre
mestny [16]
At the break-even point, the total sales and the total cost is said to be equal. Therefore, there is no profit or loss. We set up the equation as follows:

Profit/Loss = (Unit Contribution Margin) (Units) - (Fixed Costs) = 0

Unit contribution margin is (0.20)(1.50) = 0.30

Substituting the known values gives;

0 = (0.30)(400,000) - FC

FC = (0.30)(400,000)

FC = $120,000

<span>Therefore, the total fixed costs would </span>$120,000.<span>
</span>
5 0
3 years ago
Other questions:
  • Most destinations can afford to be one-season operations.<br><br> true or false
    15·2 answers
  • Match the type of bank to
    14·1 answer
  • Is there anyone who's good in economics that can help me with my questions and can provide me the CORRECT answers, please?
    6·2 answers
  • Jackson and Campbell have capital balances of $100,000 and $300,000, respectively. Jackson devotes full time and Campbell devote
    5·1 answer
  • When inventories go down in value, accountants adjust the value of the inventory that is recorded on the balance sheet. Sometime
    15·1 answer
  • Gap, Inc. owns Banana Republic, Old Navy, and Gap brands, all of which are brands of clothing targeting different segments of th
    14·1 answer
  • An investment project requires an initial investment of $100,000. The project is expected to generate net cash inflows of $28,00
    11·1 answer
  • Each of the items below must be considered in preparing a statement of cash flows for Baskerville Co. for the year ended Decembe
    8·1 answer
  • The circular flow of income model shows
    11·1 answer
  • friedman and phelps suggested that there should not be a stable relationship between inflation and unemployment, but there shoul
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!