Answer:
C. Reject W
Explanation:
In this question, we apply the Capital Asset Pricing Model (CAPM) which is shown below:
Expected return = Risk-free rate of return + Beta × (Market rate - Risk-free rate of return)
= 7% + 1.6 × (12%-7%)
= 7% + 1.6 × 5%
= 7% + 8%
= 15%
The Project W should be rejected as it gives only 14% expected return which is less than the derived expected return.
Answer:
household buying goods and services in the product market
Explanation:
The product market is where final goods and services are sold to households and firms.
The factor market is where factors of production are exchanged.
Mary is buying food for her cat. There are no indications that Mary is a business and that the food is a factor of production. Therefore, Mary is an household and she's purchasing from the product market.
I hope my answer helps you
Answer:
Consumer Price Index (CPI)
Explanation:
1- By definition CPI is the weighted average of a consumer's basket volume for any purchase service or good. When money supply increases, GDP increases, and the spending of a customer increases. Hence resulted in increased CPI.
2- Interest rate decreases when money supply increases
3- Inflation is by definition a steady increase in the money supply if a country. So one can be replaced by another. Inflation does not come from money supply increase, it is in fact money supply increase
The different types of diffusions are
Expansion Diffusion
Contagious Diffusion.
Hierarchical Diffusion.
Stimulus Diffusion.
Expansion diffusion is while innovations unfold to new places even as staying sturdy in their original places. For instance, Islam has unfold at some point of the sector, but stayed sturdy in the center East, wherein it became based.
Expansion diffusion happens when the spreading phenomenon has a supply and diffuses outwards into new areas, an instance being a spreading wildfire. Relocation diffusion takes place while the spreading phenomenon migrates into new areas, leaving at the back of its beginning or source of the sickness.
Expansion Diffusion is the spread of a concept through a population wherein the amount of these influences grows continuously large. There are 3 sub-styles of growth diffusion: Stimulus, Hierarchical, and Contagious.
Learn more about Expansion diffusion here: brainly.com/question/7215000
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Taxes are the money that the government give you to the last of the years for you work all the years