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worty [1.4K]
3 years ago
12

Oriole, Inc., stock has a beta of 1.60. If the expected market return is 17.5 percent and the risk-free rate is 7.0 percent, wha

t does CAPM indicate the appropriate expected return for Oriole stock is
Business
1 answer:
Katen [24]3 years ago
7 0

Answer:

23.8

Explanation:

Oriole stock have a beta of 1.60

The expected market return is 17.5

The risk free rate is 7.0

Therefore the expected return for oriole stock can be calculated as follows

= 7 + 1.60(17.5-7)

= 7+ 1.60(10.5)

= 7 + 16.8

= 23.8

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Answer:

The correct answer is A.

Explanation:

Giving the following information:

Estimated overhead= $396,000

Department:

Consumer= 700

Commercia= 300

To calculate the estimated manufacturing overhead rate we need to use the following formula:

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Estimated manufacturing overhead rate= 396,000/1,000= $396 per loan processed.

Now, we can allocate overhead:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 396*300= $118,800

4 0
2 years ago
The prevailing budget philosophy prior to Keynes called for a balanced budget. Keynes argued that the government should not bala
shepuryov [24]

The period which <em>Keynes argued</em> that the government should not balance its budget but instead have budget DEFICITS was during:

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According to the given question, we are asked to show the period which <em>Keynes argued</em> that the government should not balance its budget but instead have budget DEFICITS.

As a result, we can see that Keynes, one of the fathers of economics stated that it was <em>important</em> for the government to have budget deficits so that they could adequately navigate through the economic recessions at that periiod.

Therefore, the correct answer is option D

Read more about Keynesian Economics here:

brainly.com/question/14223529

4 0
2 years ago
When the money market is drawn with the value of money on the vertical axis, the price level increases if Group of answer choice
oee [108]

Answer:

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Explanation:

if the money market is drawn with the value of money on the vertical axis, while the price level increases there will be a decrement in the  value of money, and an increment in the quantity of money demanded.

An increment in the price level causes the money demand curve to shift to the right , while a decrement in the price level causes the money demand curve to shift to the left.

As the price level decreases, the value of money increases, so people want to hold less of it.

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2 years ago
High and unexpected inflation has a greater cost
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D. For savers in low income tax brackets than for savers in high income tax brackets.

3 0
3 years ago
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One reason why a blanket obligation for all employees to obey their employers no matter what is unreasonable is that the choice
Serjik [45]

Answer:TRUE

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