Answer:
$17,882
Explanation:
For computing the gross profit earned first we have to determine the net sales, net cost and discount which is shown below:
Net sales is
= Sale value of merchandise - returned sale goods value
= $33,600 - $2,700
= $30,900
Net cost is
= Cost of merchandise sold - returned cost goods value
= $13,900 - $1,500
= $12,400
Discount allowed is
= $30,900 × 2%
= $618
Now the gross profit earned is
= Net sales - net cost - discount allowed
= $30,900 - $12,400 - $618
= $17,882
The answer is Task Reference Value Qualification.
I believe it meant both alien immigrants and non-alien immigrants? Is this the correct context, immigration? Or, does it mean extra-terrestrial life? I would need to see context to know for sure, but I believe it is referencing immigration.
Answer: <em>c. The required returns on all stocks have fallen, but the fall has been greater for stocks with higher betas.</em>
Explanation:
The Capital Asset Pricing Model formula can be applied to this question.
The formula is,
Er = rF + b( rM - rF)
Where
Er is the required return
rF is the risk free rate
b is beta
rM - rF is the market premium.
Now looking at that formula, you can tell that if market premium falls, the required return would fall as well.
However, for stocks with larger betas, they would drop more spectacularly because they would be coming from higher values to lower.
Take a stock with beta 4 vs one with beta 5 for instance.
Assume that Market premium went from 6% to 3% and a risk free rate of 3%.
<u>Beta 5 stock </u>
When market premium is 6,
= 3% + 5 (6%)
= 33%
When market premium is 3,
= 3% + 5(3%)
= 18%
<u>Beta 4 stock </u>
When market premium is 6
= 3% + 4 (6%)
= 27%
When market premium is 3
= 3% + 4 (3%)
= 15%
Notice how the stock with beta 5 fell by 15% while the stock with beta 4 fell by 12%.
NAFTA ( the North American Free Trade Agreement ) entered into force in 1994. Before that in 1991 Canada, the US and Mexico had agreed to pursue a free trade agreement. Key elements included the elimination of tariffs and reduction of non-tariff barriers to trade between these countries. They removed the tariffs on goods such as: fruit and vegetables, meat products, wine, clothing, fuels and electric goods.
Answer: NAFTA is ratified in 1994 to eliminate trade barriers among: Canada, the United States and Mexico.