1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Mariulka [41]
3 years ago
10

Which of the following statements is CORRECT?

Business
1 answer:
Leya [2.2K]3 years ago
8 0

Answer: C. The beta coefficient of a stock is normally found by regressing past returns on a stock against past market returns. One could also construct a scatter diagram of returns on the stock versus those on the market, estimate the slope of the line of best fit, and use it as beta. However, this historical beta may differ from the beta that exists in the future.

Explanation:

The beta coefficient is used by an economic entity to measure how volatile an individual stock is when such stock is being compared to the market's systematic risk.

Of the options given in the question, the correct answer is option C which states that "C. The beta coefficient of a stock is normally found by regressing past returns on a stock against past market returns. One could also construct a scatter diagram of returns on the stock versus those on the market, estimate the slope of the line of best fit, and use it as beta. However, this historical beta may differ from the beta that exists in the future"

You might be interested in
When sending workplace e-mails, it is important to
ikadub [295]
I'd say choice A is the most important because you want to seem like a good, responsible employee
8 0
2 years ago
Small businesses are important to the U.S. economy because
horsena [70]

Answer:

D) They create about 65% of new jobs each year and generate over 50% of the U.S. GDP.

Explanation:

Small businesses employ over 99 percent of all the private-sector employees in the US. In figures, they hire over 130 million people. Besides that, 60 to 80 percent of all new jobs created every year come from small businesses.

In revenue generation, Small business makes 54 percent of US sales. They contribute over six trillion-dollars to the economy or 50 percent of the country's GDP

6 0
3 years ago
Adams Moving and Storage, a family-owned corporation, declared a property dividend of 1,200 shares of GE common stock that Adams
KATRIN_1 [288]

Answer:

Explanation:

The journal entries are shown below:

1. Loss on Investment A/c Dr $1,800        (1,200 shares × $31 - $39,600)

            To GE shares investment A/c $1,800

(Being the adjustment is recorded)

2. Retained earnings A/c Dr $37,200         (1,200 shares × $31)

           To Property Dividends Payable $37,200

(Being the entry is made on declaration date)

3. Property Dividends Payable A/c $37,200

             To GE shares investment A/c $37,200

(Being the entry is made on payment date)

4 0
3 years ago
You and a friend are debating the merits of using monetary policy during a severe recession. Your friend says that the central b
Gala2k [10]

Answer:

The correct answer is "yes, I agree with his reasoning"

Explanation:

Zero nominal interest rate joined with a three percent inflation rate yields a negative connotation for the real​ rate, which is the rate that is important for investment decisiveness.

7 0
3 years ago
A growing perpetuity is currently valued $6,225.81. The next annuity payment will be $386 and the discount rate is 9 percent. Wh
viva [34]

Answer:

2.8%

Explanation:

The formula to calculate value of a perpetuity is as follow:

V = Annuity payment in year 1 / (r-g)

V: Value of the perpetuity

r: Discount rate

g: Growth rate (missing value)

By inputting numbers into the formula, we have:

6225.81 = 386 / (0.09 - g)

--> g = 2.8%

3 0
2 years ago
Other questions:
  • The december 31, 2015, balance sheet of maria's tennis shop, inc., showed current assets of $1,205 and current liabilities of $9
    14·1 answer
  • . Mortgage Affordability. Seth and Alexandra Moore of Elk Grove Village, Illinois, have an annual income of $110,000 and want to
    11·1 answer
  • Kelly tells Matthew that she will sell him one of her motorcycles at some time in the future. Matthew eagerly accepts. Do they h
    13·1 answer
  • The laser printer in your accounting department is printing faded prints that are getting lighter over time. What is the most li
    6·1 answer
  • The bottom line on investing in individual stocks is: _______________ on average over lengthy periods of time; ________________,
    7·1 answer
  • Sarkis is a sales manager for the bratney companies, a company that manufactures equipment used in the processing of grains and
    13·1 answer
  • On August 1, 2017, a company borrowed cash and signed a one-year interest-bearing note on which both the face value and interest
    12·1 answer
  • Four fundamental factors affect the cost of money: (1) the return that borrowers expect to earn on their investments, (2) the pr
    5·1 answer
  • The Weston Corporation is analyzing projects A, B, and C as possible investment opportunities. Each of these projects has a usef
    11·1 answer
  • Five years ago, our company purchased land for $53,000. This year, the land is
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!