When dealing with standalone risk, coefficient of variation is best because it shows the amount by which the asset's returns might deviate from the average returns of the market.

As for portfolio assets that are well diversified, the best measure would be beta because diversified portfolios deal with systematic risk and beta shows the movement of the portfolio in relation to the market and so will show that systematic risk.

4 0

3 years ago

All of the following statements about price are true except a. small changes in price can have big effects on both the number of

MariettaO [177]

Answer:

C. the price for most products and services is always the same.

Explanation:

A price is primarily the task of a numeric incentive to an item. Prices help us to settle on ordinary monetary choices about our needs and wants. Prices are a sign of the popularity of a product; in this manner the more well known the product, the higher the value that can be charged. For instance, on the off chance that you see a table of strap tops available to be purchased, you can securely expect that bridle tops are not prevalent.

3 0

4 years ago

1. The Cozy Company manufactures slippers and sells them at $ 10 a pair. Variable manufacturing cost is $ 5.75 a pair, and allo

nadya68 [22]

Answer:

(b) $ 43,750 increase

Explanation:

The computation of the effect on operating income is shown below:

= Contribution margin per unit × special order

where,

Contribution margin per unit = Selling price per unit - Variable expense per unit

= $7.50 - $5.75

= $1.75

And, the special order is of 25,000 pairs

Now put these values to the above formula

So, the value would equal to

= $1.75 × 25,000 pairs

= $43,750

The fixed cost would remain unchanged.

6 0

4 years ago