Answer:
market premium = 0,0781 = 7.81%
Explanation:
We have to calculate the market return and then calcualte the premium as the difference between the expected return on the market and the risk-free rate:
We multiply each outcome by the stock weight. and then for the probability of occurence of that state of economy
Calculations for boom:
Change of boom x (weighted outcome A + weighted outcome B + weighted outcome C)
0.25 x (0.45 x 0.15 + 0.45 0.27 + 0.1 x 0.05) = 0.05
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market expected return 0,1191
Market premium: 0,1191 - 0,041 = 0,0781
Answer:
Debit Interest Expense, credit Cash and Discount on Bonds Payable.
Explanation:
The journal entry that a company needs to record for payment of interest is: a debit to the interest receivable account and a credit to the interest income account.
The journal entry that a company needs to record for interest expense is: a debit to interest expense and a credit to cash.
The journal entry that a company needs to record for interest expense is: a debit to interest expense and a credit to discount on bonds payable.
Chances are that when your company, which sells consulting services to multinationals, is forecasting legal decisions in <u>domestic markets</u>, the predictions will be MUCH MORE accurate than when forecasting legal decisions in <u>foreign markets</u>.
<h3>What is the difference between domestic and foreign markets?</h3>
The difference between domestic and foreign markets is that a company offering forecasting legal decisions will be very more familiar with the domestic market than the decisions that can be taken in foreign markets.
Chances are that when your company, which sells consulting services to multinationals, is forecasting legal decisions in <u>domestic markets</u>, the predictions will be MUCH MORE accurate than when forecasting legal decisions in <u>foreign markets</u>.
Learn more about domestic and foreign markets at brainly.com/question/15115779
Answer: $20,000
Explanation:
Net Income is the amount from revenue that the company made over expenses. It is therefore;
= Revenue - Expenses
= 110,000 - 90,000
= $20,000
<em>Note: Dividends are not considered in the calculation of Net Income as they are not expenses. </em>
Answer:
$961.54
Explanation:
To calculate the real price of the TV you would have to determine the present value of the TV's price. The future price of the TV is $1,000 and your discount rate is 4% annual (the same as your bank), so the present value of the TV =
present value = future value / (1 + rate) = $1,000 / 1.04 = $961.54
