Answer:
9.75%
4.2%
Explanation:
Given:
Stock index portfolio = 70% = 70/100 = 0.70
Risk free asset = 30% = 30/100 = 0.30
Return on the risk-free asset = 4.5% = 4.5/100 = 0.045
Return on the stock index = 12% = 12/100 = 0.12
Standard deviation (Return on the stock index) = 6% = 6/100 = 0.06
Computation of expected return on the portfolio:
Expected return = [Risk free asset × Return on the risk-free asset ] + [Stock index portfolio × Return on the stock index ]
= [0.3 × 4.5] + [0.7 × 12]
= [1.35 + 8.4]
= 9.75%
Computation of expected standard deviation of the portfolio:
Expected standard deviation = [Stock index portfolio × Standard deviation (Return on the stock index)]
= 0.7× 6
= 4.2%
Answer:
The correct answer is the option C: The amount of labor demanded depends on the demand for the firm's product.
Explanation:
To begin with, in the microeconomics theory we can find the answer to the question base upon the fact that the "derived demand" of labor is known like that because it will always depend on the amount of output that the company sells. Therefore that the amount of labor hired is derived from the amount of product sold. Understanding that if the company sells more of its product then it will hire more workers in order to increase the offer, according to basic supply laws. And that is why that obviously the demand ends up being dependent from the demand of the product itself.
Answer:
B. Pupco has the right to fire Angelina after six months.
Explanation:
Angelina as the employee, can decide when to quit freely and Pupco as the employer cannot force her to keep working. Depending on specific clauses, Angelina might have to give a 1 or 2 weeks notice that she is quitting, but ultimately she can quit whenever she wants. The same does not apply to the employer, which cannot fire Angelina immediately or if she does, Pupco will have to pay her normal wages as if she had worked during a minimum amount of time. Laws generally protect the least powerful party and in a labor relationship, the employee is the least powerful party.
Answer:
CVP Income Statement
Sales revenue 2,350,000
Less: Total variable cost <u>1,110,000</u>
Contribution margin 1,240,000
Less: Fixed cost <u>663,000</u>
Net Operating income <u>$577,000</u>
Note:
Cost of goods sold 940000
Selling expenses 74000
Admin expense <u>96000 </u>
Total variable cost <u>1110000</u>
Cost of goods sold 464000
Selling expenses 54000
Admin expense <u>145000</u>
Total Fixed cost <u>663000</u>
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