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Effectus [21]
3 years ago
5

The capital asset pricing model (CAPM) is based on the premise that: Group of answer choices Neither systematic nor unsystematic

variability in cash flows is relevant. Only systematic variability in cash flows is relevant. Only unsystematic variability in cash flows is relevant. Both systematic and unsystematic variability in cash flows are relevant.
Business
1 answer:
Dahasolnce [82]3 years ago
8 0

Answer:

only systematic variability in cash flows is relevant.

Explanation:

A capital asset pricing model is a model that is used for determining  the theoretically appropriate required rate of return for an asset, and to make the decisions about the adding assets to a well-diversified portfolio. It is the relationship between the systematic risk and the expected return for the assets. It is based on the premises that the only systematic variability in the cash flows is very relevant.

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Crane Corporation recently reported an EBITDA of $29.60 million and net income of $9.7 million. The company had $6.8 million in
vesna_86 [32]

Answer:

$7.88 million

Explanation:

Net Income = (EBITDA- Interest - Dep)*(1-tax)

Net income = 9.7

Earnings before interest, taxes, depreciation and amortization; EBITDA = 29.60

Interest = 6.8

tax = 35% or 0.35

9.7 = (29.60 - 6.8 - Dep)(1-0.35)

9.7 = (22.8 - Dep)*0.65

Divide both sides by 0.65

9.7/0.65 = 22.8- dep

14.9231 = 22.8 -dep

Dep = 22.8 - 14.9231

Dep = 7.8769

Therefore, depreciation and amortization expense is $7.88 million

8 0
3 years ago
Describe the steps that should be followed to safely exit an expressway
LenKa [72]
The steps that should be followed to safely exit an expressway are:

1. Half a mile before the exit, you should check your front and rear zones for traffic.
2. Signal and move into the 3rd lane position that leads into the deceleration lane.
3. Move into the deceleration lane.
4. Flash your brake lights or push your brakes to turn on the brake lights to let other drivers know that you are slowing down.
5. Identify the ramp speed sign and use that speed to exit.
5 0
3 years ago
What is product positioning?
lesantik [10]

Answer:

Positioning refers to the place that a brand occupies in the minds of the customers and how it is distinguished from the products of the competitors and different from the concept of brand awareness

Explanation:

Make me brainliest

5 0
3 years ago
Consumption of Fixed Capital$25Government Purchases315US imports260Personal Taxes45Transfer Payments247US Exports249Personal Con
morpeh [17]

Answer:

$1,079 billion

Explanation:

Calculation to determine what Gross domestic product is

Using this formula

Gross domestic product = Personal Consumption Expenditures + Gross Private Domestic Investment + Government Purchases + Net exports

Let plug in the formula

Gross domestic product = $475 + $300 + $315 + ($249 - $260)

Gross domestic product =$475 + $300 + $315 + +$11

Gross domestic product = $1,079 billion

Therefore Gross domestic product is $1,079 billion

8 0
3 years ago
Assume that Superb Hancock uses first-in, first-out (FIFO) for inventory costing instead of the weighted-average inventory valua
icang [17]

Answer: $33,280

Explanation:

With FIFO, materials cost is added at the beginning.

Cost per unit of materials in production:

= 15,000 / 10,000

= $1.50

Cost per unit of conversion:

= 25,000 / Equivalent unit of production for conversion

Equivalent unit of production for conversion:

2,000 units were not transferred at the end of the month seeing as only 8,000 units were:

= 8,000 + (2,000 * 70%)

= 9,400 units

= 25,000 / 9,400

= $2.66

Amount transferred:

= 8,000 units * (Material cost + Conversion cost)

= 8,000 * (1.50 + 2.66)

= $33,280

5 0
3 years ago
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