Answer:
0.038 units per $ of factor costs
Explanation:
Labor cost for 40 units = 30 hours × $10/hour = $300
Cost of paper for 40 units = 15 sheets × $50/sheet = $750
Output = 40 units
Multi factor productivity is expressed as;
Multi factor productivity = Output/Total Factor cost
Multi factor productivity = 40 units/$1050 = 0.038 units per $ of factor cost
Multi factor productivity is a measure that depicts units produced for every $ of factor products used. In the above case 2 factors i.e labor and paper are used.
Cost of Equity as per CAPM = rf +beta*(rm-rf)
rf = risk free rate = 2.5%
beta =1.12
rm-rf = market risk premium = 6.8%
Cost of equity = 2.5+ 1.12*6.8 = 10.116% = 10.12%
It would be an informative resource
Answer:
D) securities' returns are negatively correlated.
Explanation:
For diversification we want to reduce risk thus, the stocks must be diverse they must be different. That means the situation under one stock increases makes the other incease that way we have a balance portfolio
We need negative correlation among securities.
Answer:
All health insurance premiums must be deducted on a pre-tax basis.
The premium amounts are reduced by deducting them on a pre-tax basis.
The employee’s income that is subject to income tax(es) is reduced.
Explanation:
Health care premiums are deducted on a pre-tax basis, reducing the amount that both employees and employers must pay on federal income taxes, state taxes and FICA taxes.
Since your health premiums reduce your total taxes, they real amount you pay for them is reduced. Similar logic to interests paid by a company that reduce corporate taxes.
