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Vedmedyk [2.9K]
2 years ago
5

If all investors become more risk averse the SML will _______________ and stock prices will _______________. Multiple Choice hav

e the same intercept with a flatter slope; rise shift upward; rise have the same intercept with a steeper slope; fall shift downward; fall
Business
1 answer:
Eddi Din [679]2 years ago
7 0

Answer:

1. have the same intercept with a steeper slope;

2. fall

Explanation:

If all investors become more risk-averse, the SML will "have the same intercept with a steeper slope," and stock prices will "Fall."

The above statement is TRUE, and it is based on the theory that the slope of the Security Market Line reflects the level at which investors are unwilling to take the risk. Whereby the average investor prefers higher returns but is reluctant to take the risk.

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A mixed-market economy is one in which
GalinKa [24]

Answer:

both the government control and the private sector exist

Explanation:

The mixed-market economies are economies that have primarily developed from the command economies, but have implemented market economy elements as well. In this type of economies we have a situation where the governments still have a very important role in the economy, while in the same time, the private businesses are also thriving. The government is usually in control of the most important and abundant natural resources, thus providing security for the country's people and economy. The private businesses are able to operate freely, and they collaborate with the government as a business partner., with both of them being dependent on each other.

8 0
3 years ago
Minor Company installs a machine in its factory at the beginning of the year at a cost of $135,000. The machine's useful life is
VikaD [51]

Answer:

The straight line depreciation for the first year is $24000

Explanation:

The straight line method of depreciation charges/allocates a constant amount of depreciation through out the useful life of the asset. The straight line depreciation expense for the year is calculated as follows,

Straight line depreciation = (Cost - Salvage Value) / Estimated useful life

Straight line depreciation = (135000 - 15000) / 5  = $24000 per year

Thus, the amount of depreciation for first year under straight line method is $24000

7 0
3 years ago
Under _____, a company compares some dimension of its performance to that of another firm, be it a competitor or in a totally di
denis-greek [22]

Under Price discrimination, an organization compares a few dimensions of its performance to that of another company, be it a competitor or in a totally distinctive industry.

Charge discrimination is a promoting method that fees clients one-of-a-kind charges for the same products or services based on what the seller thinks they can get the patron to comply with. In natural price discrimination, the vendor fees every customer the most fee they'll pay.

Charge discrimination refers to charging distinct clients special costs for the same true carrier. The Sherman Antitrust Act, Clayton Antitrust Act, and Robinson-Patman Act outlaw price discrimination while the intent of that discrimination is to harm competitors.

Price discrimination in a monopoly is a practice of charging extraordinary costs for an equal product. Monopolies generally have extra control over providers than ordinary sellers, which means that they can notably impact the providers' promoting prices.

Learn more about Price discrimination here: brainly.com/question/23342760

#SPJ4

3 0
1 year ago
J Corporation has two divisions. Division A has a contribution margin of $79,300 and Division B has a contribution margin of $12
Allushta [10]

Answer:

Net income= $98,200

Explanation:

Giving the following information:

Division A:

The contribution margin of $79,300

Division B:

Contribution margin of $126,200.

The total traceable fixed costs are $72,400 and total common fixed costs are $34,900.

<u>To calculate the net operating income, we need to deduct from the combined contribution margin the fixed costs.</u>

<u></u>

Net income= (79,300 + 126,200) - 72,400 - 34,900

Net income= $98,200

7 0
2 years ago
Which of the following islare true using the specific, economic, definition
marissa [1.9K]

Answer:

II. A person is unemployed when they do not have a job, are able to work, and are actively looking for a job.

Explanation:

A person without a job must be actively looking for work to be counted as unemployed and willing/able to work. If not, then the person without a job is counted as being out of the labor force.

5 0
3 years ago
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