Answer:
command economy and capitalism
Explanation:
A command economy is a situation where the government determines what goods and services are produced in a state. The government formulate its production policies to achieve his goals and objective. The major advantage of a command economy is that is reduces the level of inequality in a state, as against the profit motive in capitalism. Examples of a command economy country is North Korea and Cuba
Capitalism is an economic state where private individuals own and controls factors of production to for profit motive. Private investors are given power by government to control labour, capital and land in the production process with little or no involvement by government. Examples of countries practicing capitalism includes USA, Chile, canada, etc.
Answer:
c. 9.21%
Explanation:
In this question, we apply the Capital Asset Pricing Model (CAPM) formula which is shown below
Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)
For stock A
12% = 4.75% + 1.30 × market risk premium
12% - 4.75% = 1.30 × market risk premium
7.25% = 1.30 × market risk premium
So, the market risk premium = 5.58%
For Stock B, required rate of return would be
= 4.75% + 0.80 × 5.58%
= 4.75% + 4.464%
= 9.214%
A. i think , hoped this helped
Answer:
23,130,000 HK
Explanation:
Loan amount taken by sapling = 12,000,000 euros
Loan amount taken by sapling in Dollars at an exchange rate of 9 HK dollars/euros:
= 9 × 12,000,000
= 108,000,000 HK
Amount to be repaid by sapling at i= 1.5%:
= 12,000,000(1 + 0.015)
= 12,180,000 euros
Amount to be repaid by sapling in HK Dollars at an exchange rate of 7.5 HK dollars/euro:
= 7.5 × 12,180,000
= 91,350,000 HK
Amount earned by lending at i = 6%:
= 108,000,000(1 + 0.06) HK
= 114,480,000 HK
Net profit earned = Amount Earned - Amount Repaid
= 114,480,000 HK - 91,350,000 HK
= 23,130,000 HK
Net profit earned in Euros = (23,130,000 ÷ 7.5) euros
= 3,084,000 euros
