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3 years ago

Stock prices follow a random walk with a trend because:__________

Business

1 answer:

Bumek [7]3 years ago

6 0

Answer:

Stock prices follow a random walk with a trend because:__________

d. stock prices are based on both future profits and expectations about future profits and gradually rise over time.

Explanation:

The random walk theory of the stock price movement states that there is no observable pattern or trend to the movement of a stock price. It is, therefore, impossible to use the past movement or trend of a stock price to predict its future movement. This means that the wise investor should invest in the market portfolio to reflect more closely the movement of stock prices in the market instead of investing in a single stock or market security.

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A student finds data on an internet site that contains financial information about selected companies. he plans to analyze the d

garri49 [273]

The kind of data source is not known. Results may be invalid because some internet websites don’t upgrade their formats to the latest one. A lot of important details may also be missing from internet sites since some of their formats are incorrect while their data cannot be used as resource in some statistic software.

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3 years ago

Cobe Company has already manufactured 21,000 units of Product A at a cost of $15 per unit. The 21,000 units can be sold at this

bezimeni [28]

Answer and Explanation:

The computation is shown below;

Particulars Sell process further

sales $450,000 $1,209,000

Relevant cost

Process further cost $0 $290,000

Less: Total relevant cost $0 $290,000

Income $450,000 $629,000

Incremental income $179,000

The $1,372,000 is come from

= 5,800 units × $105 + 12,000 units × $50

= $609,000 + $600,000

= $1,209,000

Hence, the company should process further

7 0

3 years ago

Mayree is the owner of Spines Books, a small eclectic-style bookstore in a bustling college town. Mayree prides herself in selec

Mila [183]

Answer:

Inventory turnover

Explanation:

From the question we are informed Mayree who is the owner of Spines Books, a small eclectic-style bookstore in a bustling college town. Mayree prides herself in selecting hard-to-find books and magazines that her clientele enjoy. Recently, Mayree is experiencing a cash flow shortage, and she is concerned that she may be purchasing too many copies of each title. Having recently completed a business class, I can suggest to Mayree that she calculate the Inventory turnover ratio for her store, and then compare it to other stores in her industry. Inventory turnover can be regarded as rate at which particular company make sales of it's stock of goods and make replacement of its stock of goods during a particular period.

The inventory turnover ratio can be regarded as formula which is cost of goods that is been sold divided by average inventory within the same period.

Mathematically,

inventory turnover=[Net sales/ Average inventory at particular selling price]

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3 years ago

Shahia Company bought a building for $89,000 cash and the land on which it was located for $107,000 cash. The company paid trans

kramer

Answer:

Explanation:

The net book value of the property(land and building) at the end of year 2

Building(89,000 + 7,000 + 16,000) 112,000

Less; Depreciation for 2 years(10,200*2) (20,400) 91,600

Land(107,000 + 3,000) 110,000

Net book value of property 201,600

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3 years ago

Complete the statements and then calculate the change in consumption. The consumption function shows the relationship between co

wel

Answer:

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3 years ago