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4 years ago

An example of an intangible asset is Question 8 options: land. a building. assembly cost. a patent.

1 answer:

5 0

Anything that's intangible means you cannot touch it. You can touch the land (with your feet), and you can touch a building. Neither are intangible assets.

An assembly cost is intangible, but it's not an asset. It's a cost. Assets are things with long term value - a cost is something spent.

A patent has value in the future - someone with the patent owns the ability to make a product. That makes it an asset. It's also a right and not able to be touched.

Thus, the patent is an example.

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Suppose that there are two independent economic factors, F1 and F2. The risk-free rate is 3%, and all stocks have independent fi

yarga [219]

Answer:

Rp = 3% + BP1 * 10.42% + BP2 * 6.1%

Explanation:

Portfolio A:

R_p = R_f + Beta1*Factor1 + Beta2*Factor2

32% = 3% + 1.6*F1 + 2*F2

Portfolio B

29% = 3% + 2.6*F1 - 0.2*F2

Solvig the equatios

3% = -F1 + 2.2*F2

F1 = 2.2F2 - 3%

F1 = 2.2F2 - 0.03

Substituting

29% = 3% + 2.6*(2.2F2 - 0.03) - 0.2F2

29% = 3% + 5.72F2 - 0.078 - 0.2F2

5.52F2 = 29% - 3% +0.078

5.52F2 = 0.26 +0.078

5.52F2= 0.338

F2 = 0.338/5.52 = 0.061

F1 = 2.2F2 - 0.03 = 2.2(0.061) - 0.03

= 0.1042

The return Beta relationship in this economy Rp = 3% + BP1 * 10.42% + BP2 * 6.1%

3 0

3 years ago

Holding cash simply as a financial reserve is referred to as the ____ motive.

mel-nik [20]

<span>Holding cash simply as a financial reserve is referred to as the "speculative" motive.

</span>Speculative motive refers to a strategy that is utilized by financial specialists/merchants to hold money to make the best utilization of any speculation opportunity that emerges later on. Keeping all cash contributed doesn't appear to be appealing constantly. Keeping up a decent lot of liquidity in one's portfolio is one of the best needs for n investor.
For the most part, financial specialists keep a decent measure of such money with them in order to acquire higher benefits.

7 0

3 years ago

The Sun Company manufactures a special line of graphic tubing items. The company estimates it will sell 75,000 units of this ite

Mashutka [201]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

The company estimates it will sell 75,000 units of this item in 2008. The beginning finished goods inventory contains 20,000 units. The target for each year's ending inventory is 10,000 units.

1) <u>To calculate the budgeted units of production, we need to sum the sales of the period to the desired ending inventory and subtract the beginning inventory.</u>

Production budget= 75,000 + 10,000 - 20,000= 65,000 units

Each unit requires five feet of plastic tubing. The tubing inventory currently includes 70,000 feet of the required tubing. Materials on hand are targeted to equal three month's production.

First, we need to calculate the ending inventory at years end:

ending inventory= (75,000/12)*3= 18,750 units

Purchases= production for the period + ending inventory - beginning inventory

Purchases= 65,000*5 + 18,750*5 - 70,000= 348,750 feet

7 0

4 years ago

Sally purchased a log-splitter five years ago. This year, she purchases some new parts, gasoline, oil, and spends 2 hours repair

kompoz [17]

Answer:

Explanation:

The GDP or gross domestic product measures the market value of all goods and services produced in country in a specific period of time. This year GDP should not include the log-splitter because Sally purchased it five years ago. We should include this year purchases: new parts, gasoline, oil. Also, we should include the market value of the 2 hours she spent repairing the log-splitter if she paid someone to do it or if someone paid her to do it, because this is a service. But the problem suggests that she repaired her own log-splitter, then we should not include it this year GDP.

6 0

3 years ago

Edison Corporation paid a dividend of $10 per share on its $100 par preferred stock and $4 per share on its $20 par common stock

stepan [7]

Answer:

The dividend yield is 5%

Explanation:

The amrket value of common stock is known and the dividend yield on the common stock will be calculated.

The dividend yeild is basically the dividend return that the stock is providing expresses as a percentage of its market price.

Thus, the formula for dividend yield is,

Dividend Yield = Dividend per share / market price per share

The dividend yield on Common stock = 4 / 80 = 0.05 or 5%

5 0

3 years ago