Answer:
The expected value of the proposition is $2.50.
Explanation:
When a coin is tossed two times, the following is the sample space (S)
S = {HT,TH,TT,HH}
Using the information in the question, we can derive the following win/loss table:
S Probability Payoff
TH 1/4 -$30
HT 1/4 -$30
TT 1/4 -$30
HH 1/4 $100
The expected value (E) can now be calculated as follows:
E = Sum of (Probability * Payoff) = (1/4 * ($-30)) * (1/4 * ($-30)) * (1/4 * ($-30)) = (1/4 * $100) = ((1/4) * (-30)) + ((1/4) * (-30)) + ((1/4) * (-30)) + ((1/4) * 100) = $2.50
Answer:
$38.78
Explanation:
The formula to compute the share price in one year is shown below:
Price of a stock = (Next year dividend) ÷ (Required rate of stock return - growth rate)
where,
Price of the stock = Next year dividend ÷ (Risk free rate + beta × (Market return - Risk free rate) - Dividend growth rate)
$35 = $0.80 ÷ (5.5% + 1.2 × (12% - 5.5%) - g)
So after solving this
The growth rate is 11.01%
Now the share price after one year is
= 0.80 × (1 + 11.01%) ÷ (13.3% - 11.01%)
= $88.81 ÷ 2.29%
= $38.78
Answer:
differences between credit card fraud and identity theft – and how they ... birth dates and bank account numbers can be used to assume your identity. ... states limit your responsibility for debt incurred on fraudulent new accounts
Answer:
The BEP will decrease, which is good.
The reason is that C90B has a better profit margin than Y45E so if the sales shift toward C90B the Contribution mix margin ratio will be higher and it will be easy to pay fixed cost and make a gain
Explanation:
C90B
sales 37,000
variable expenses 9,250
contribution margin 27,750
CM 0.75
Y45E
sales 29,700
variable expenses 16,335
contribution 13,365
CM 0.45
Answer:
E. materiality concept
Explanation:
The materiality concept refers to a concept in which it impacts the decisions of the user if there is any small impact. In other words, any small impact could change the user decisions with respect to the financial statement i.e. relevant and useful
Therefore according to the given situation, the Option E is correct
And all the other options are incorrect
