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Fofino [41]
3 years ago
15

What might be reasons that small-company stocks earn higher returns than large-company stocks on average?

Business
1 answer:
Maslowich3 years ago
3 0

Answer:

small company stocks are less safe and liquid and is more exposed to inflation  

Explanation:

From the period of 1926 to 2010, the small company stock had the highest average return of securities as compared to the company stocks of large company. Some of the reasons for the highest return on average of a small company stock than the small company stock are :

1. The small company stocks are less safe.

2. The small company stocks are less liquid.

3.They are more exposed to the inflation.

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The liabilities of Berber Company are $120,000 and the owner's equity is $230,000. What is the amount of Berber Company's total
svetlana [45]

Answer:

$350,000

Explanation:

The relationship between assets, liabilities, and equity is expressed in the accounting equation.  According to the equation, Assets = Equity plus Liabilities.

For Berber company, total assets will be

Assets = $120,000 + $230,000

Assets = $350,000

6 0
3 years ago
When interest rates on treasury bills and other financial assets are low, the opportunity cost of holding money is _________, so
o-na [289]

When interest rates on treasury bills and other financial assets are low, the opportunity cost of holding money is <u>low </u>so the quantity of money demanded will be <u>high</u>.

If interest rates go up, the demand for money will go down. Once it equals the new money supply, there will be no more difference between how much money people are holding and how much they want to keep, and the story is over. This is why (and how) a decline in the money supply raises interest rates.

As interest rates rise, the amount of money demanded decreases because the opportunity cost of holding money decreases. As interest rates rise, aggregate demand shifts to the left. The interest rate effect arises from the idea that higher price levels reduce the real value of household holdings.

Learn more about interest rates here: brainly.com/question/1115815

#SPJ4

7 0
2 years ago
A low home inflation rate relative to other countries would ____ the home country's current account balance, other things being
Musya8 [376]

Answer:

Increase; increase.

Explanation:

Inflation can be defined as the persistent rise in the price of goods and services in an economy.

A low home inflation rate relative to other countries would increase the home country's current account balance, other things being equal. Low growth in the home income level relative to other countries would increase the home country's current account balance, other things being equal. A country's current account balance is a statement of the value of its exports and imports of goods and services at a specific period of time.

<em>Hence, when the level of inflation is low in a particular country; their current account balance would be high. However, when the level of inflation is high it results in low growth and as such increases the home country's current account balance, other things being equal. </em>

7 0
3 years ago
Is dispute a letter?<br><br>​
Snezhnost [94]
Nope, dispute is a word
4 0
2 years ago
If I want to get a job and I’m 14 where can I go to get a good paying job? And one that will look good on a college application.
Burka [1]

Answer:

While some places may hire someone your age, you will most likely have better luck finding a job once you are 15 and up. I'd imagine it varies statewide so it would be best if you could  call and confirm you are old enough but a few of the places that may consider include:

McDonalds

Movie theaters

Dog sitting/walking, babysitting, lawn mowing

Baskin Robbins

Chick Fil A

Safeway as well as select grocery/department stores

Due to your age, you will most likely have some trouble finding a job that "looks good" on your college resume. If you have any free time, however, volunteer work is sure to look good on your resume.

5 0
3 years ago
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