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viva [34]
2 years ago
8

Click to review the online content. Then answer the question(s) below, using complete sentences. Scroll down to view additional

questions.
Read the article and answer the question.

Name and briefly describe the four categories of risk explained in the article.
Business
2 answers:
lisabon 2012 [21]2 years ago
8 0

Answer:

Yes he is good have a good day

Explanation:

saveliy_v [14]2 years ago
8 0

Market Risk: There is always a chance that your investment will not actually increase in value, meaning you lose money in the long term. This is the most common risk for investments in company stocks, but it is also a risk when investing in goods. For example, cars, electronics, motorcycles, collectibles, and home furnishings and appliances are all costly “investments,” but they also quickly decrease in value with use. As a result, they are not smart financial investments. If you happen to have a classic or limited-production car, it may actually increase in value. For the average consumer, though, a wiser product investment is real estate because it typically (not always!) increases in value over time.

Financial/Business Risk: If you want to take a risk by investing your money in a private business, you could end up gaining a lot in the long run. However, when people invest in a business, they also risk losing some or all of their money if the business declines or goes bankrupt. To manage this risk, some people choose to invest in government stocks. These stocks are significantly more secure but also have a lower return rate, or the rate at which the funds increase. Ultimately, each investor must decide how much risk he or she is willing to take.

Inflation Risk: When investing money in any manner, there is always a risk that the rate of return is not as high as the rate of inflation. You’ve probably heard that a dollar today buys a lot less than it did, say, 50 years ago. This difference is due to inflation, or the decreasing value of currency. If invested funds are increasing at a rate that is slower than the rate of inflation, technically, you are losing money because you are not earning enough money to account for the natural devaluing of the money you invested. This is why keeping your savings in a jar or safe is not a secure investment. To manage this risk, seek out savings plans that account for inflation.

Fraud Risk: Any time you invest your money, it is important to research thoroughly the product, stock, company, etc. in which you plan to invest. Fraudulent organizations or people occasionally trick investors into giving them money and then disappear with the funds or spend it all frivolously. Wise investors can reduce the risk of fraud by doing plenty of research before investing and by diversifying their investment portfolios. Don’t worry: Although fraud is illegal, accidentally becoming a victim of fraud won’t land you in handcuffs—though you may lose a lot of money.

<u>100% on edge 2021</u>

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Consider the following data on the factor endowments of two countries, A and B: Labor Force (millions of workers) 45 20Capital S
Alexus [3.1K]

Answer:

a. Country A

b. Country B

c. Country A

Explanation:

Given

For Country A

Labor force = 45 million = 45000000

Capital Stock = 15 thousand= 15000

For Country B

Labor Force = 20 million = 20000000

Capital Stock = 10 thousand = 10000

a. Which country is relatively capital abundant

A country is capital abundant if its endowment of capital relative to other factors is large compared to other countries.

We calculate the capital/labor ratio for each country.

For A, Ratio = 45000000÷15000 = 3000

For B, Ratio = 20000000÷10000= 2000

The Ratio of country A is greater than B.

So, A is capital redundant.

b. Which country is relatively labor abundant

A country is labour abundant if its endowment of labour relative to other factors is large compared to other countries.

We calculate the labor/capital ratio for each country

For A, Ratio = 15000÷45000000 = 0.000333

For B, Ratio = 10000÷20000000 = 0.0005

The Ratio of country B js greater than A

So, B is capital redundant.

c. Suppose that good S is capital intensive relative to good T. Which country will have comparative advantage in the production of S?

Heckscher–Ohlin theorem in the two-factor case, it states: "A capital-abundant country will export the capital-intensive good, while the labor-abundant country will export the labor-intensive good"

So, if product S is capital intensive relative to T then country A will have more advantage in production of product T to aid their exportation.

4 0
3 years ago
Read 2 more answers
A self-directed team Select one:
Igoryamba

Answer:

d. makes all decisions internally about leadership and how the work is done and has the potential for high autonomy.

Explanation:

A self-directed team is a group of employees that works without a leader to reach an objective. As this team doesn't have a leader they work together to organize the job and set the rules and deadlines. This model give employees more responsability, increases satisfaction, and gives them autonomy. According to this, the answer is that a self-directed team makes all decisions internally about leadership and how the work is done and has the potential for high autonomy.

7 0
3 years ago
Kohler Corporation reports the following components of stockholders’ equity at December 31, 2018. Common stock—$20 par value, 10
gogolik [260]

Answer:

1. See the attached excel file for the journal entries.

2. Ending balance of retained earning is $346,125

3.Total Stockholder's Equity is $1,616,125

Explanation:

1. Prepare journal entries to record each of these transactions.

Note: See the attached excel file for the journal entries.

The following are tge workings:

w.1: Treasury stock = $5,000 * $20 = $10,000

w.2: Dividend payable = (Issued and outstanding shares - Shares repurchase) * Dividend per share = (60,000 - 5,000) * $4 = 55,000 * $4 = $220,000

w.3: Cash = Number of shares sold * Selling price per share = 1,875 * $24 = $45,000

w.4 = Treasury stock = Number of shares sold * Treasury price per share = 1,875 * $20 = $37,500

w.5: Additional paid in capital = Number of shares sold * (Selling price per share - Treasury price per share) = 1,875 * ($24 - $20) = $7,500

w.6: Cash = Number of shares sold * Selling price per share = 3,125 * $17 = $53,125

w.7 = Treasury stock = Number of shares sold * Treasury price per share = 3,125 * $20 = $62,500

w.8: Balancing figure = Treasury stock (w.7) – Cash (w.7) - Additional paid in capital (w.5) = $62,500 - $53,125 - $7,500 = $1,875

w.9: Dividend payable = (Issued and outstanding shares * Dividend per share = 60,000 * $4 = $240,000

2. Prepare a statement of retained earnings for the year ended December 31, 2019.

Kohler Corporation

Statement of Retained Earnings

On December 31, 2019

<u>Particulars                                                  Amount ($)  </u>

Opening balance                                       400,000

Income for the year                                    408,000  

Dividend Paid (220,000 + 240,000)        (460,000)

Loss on sale of treasury stock               <u>        (1,875)    </u>

Ending balance                                     <u>      346,125   </u>

3. Prepare the stockholders’ equity section of the company’s balance sheet as of December 31, 2019.

Kohler Corporation

Stockholder Equity Section of Balance sheet

At December 31, 2019

<u>Particulars                                                        Amount ($)</u>

Common stock issued ($20 * 60,000)               1,200,000

Paid-in capital in excess of par v - c. stock     <u>        70,000  </u>

Total contributed Capital                                     1,270,000

Retained Earnings                                      <u>      346,125  </u>

Total Stockholder's Equity                             <u>     1,616,125  </u>

Download xlsx
3 0
3 years ago
People keep in contact using social media sites, including Facebook, Google Plus, and YouTube. Increasingly, these sites are use
Julli [10]
The answer is 4% on his return
3 0
3 years ago
Read 2 more answers
Assume the price elasticity of demand (Ed) is 0.4 for gasoline in the long run. Some argue that we need a 50% reduction in gasol
dybincka [34]

Answer:

125%

Explanation:

Price elasticity of demand measures the responsiveness of quantity demanded to changes in price of the good.

Price elasticity of demand = percentage change in quantity demanded / percentage change in price

Let x = percentage change in price

o.4 = 50 / x

x = 125

7 0
3 years ago
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