Answer:
Explanation:
a.)
Given the different probabilities with their respective returns, you will find the firm's expected return using the following formula;
return; r = SUM (probability *expected return)
The formula above means that you multiply each probability by return , then sum the results.
r = (0.25*0.10) +(0.50*0.15) + (0.25*-0.02)
r = 0.025 +0.075 -0.005
r = 0.095 or 9.5%
Therefore, the correct answer is 9.5%. The choices given do not apply.
b.)
Use the Capital Asset Pricing Model(CAPM) formula to calculate the required return. Additionally, since we have inflation rate, adjust the formula to that inflation rate since investors would require a high rate to compensate for it.
Inflation adjusted CAPM required return; r = risk free + inflation + beta(Market return - risk free)
r = 0.045 + 0.03 + 1.50(0.11 - 0.045)
r = 0.075 + 0.0975
r = 0.1725 or 17.25%
Therefore, the required rate is 17.25%
<u>Scientific notation:</u>
To write an amount in scientific notation the amount is written as multiplication of exponent of 10. In the given case we are asked to write the GDP of Germany 3.65 trillion in Scientific notation. The GDP is given 3.65 trillion and 1 trillion = 1,000,000,000,000. So we can write it as follows:
= 3.65 * 1 trillion
= 3.65 * 1,000,000,000,000
= 3.65 * 10^12
Hence the GDP of Germany in 2008 is <u>3.65 * 10^12</u>
Answer:
e. Promissory estoppel
Explanation:
Based on the information provided within the question it can be said that in this scenario Suzy can sue George on the basis of a promissory estoppel. This term refers to a doctrine used in contract law that prevents an individual from refusing to uphold a promise even though there is no actual legal contract binding them to do so. Which George can be held liable for since he offered to sell his car to Suzy.
Answer:
The journal entries are as follows:
(i) On June 1,
Cash A/c Dr. $5,890
To Owner's capital $5,890
(To record the issue of common stock)
(ii) On June 2,
Equipment A/c Dr. $1,240
To Accounts payable $1,240
(To record the purchase of equipment on account)
(iii) On June 3,
Rent Expense A/c Dr. $670
To cash $670
(To record the payment of rent)
(iv) On June 12,
Account receivable A/c Dr. $880
To service revenue $880
(To record the service provided on account)
The stock code for the Walt Disney Corporation is "DIS." If you search the internet for DIS you will see the current stock rate.
Today, the price closed at $116.86 per share.
Multiply this price by the number of shares you are buying to find the total cost. To find the percentage change, divide the new price by the old price and multiply that decimal by 100.
