Answer: C. While stocks have a higher rate of return in the long run, they are much more volatile (riskier) in the short run. As such, they have a higher probability of having less than the original value of the investment for people who might need to withdraw the investment in the short run.
Explanation:
As stated, people who need to withdraw part or all of their investments in a short time frame such as the elderly are advised to invest in bonds as opposed to stock.
To properly benefit from Stock ownership, one has to be willing to leave it for a long period of time because stocks are more volatile in the short run. If a person needs to withdraw in a short horizon and goes in on Stock, they may lose some of their money due to Capital losses if the Stock reduces in value.
Bonds on the other hand will give a steady income so that even if you wish to withdraw in a short time, you can with the probability of no losses in that short time frame.
Answer:
Direct material quantity variance= $6,300 unfavorable
Explanation:
Giving the following information:
Direct materials 2 grams $7.00 per gram
The company produced 4,600 units in January using 10,100 grams of direct material.
<u>To calculate the direct material quantity variance, we need to use the following formula:</u>
Direct material quantity variance= (standard quantity - actual quantity)*standard price
Direct material quantity variance= (2*4,600 - 10,100)*7
Direct material quantity variance= $6,300 unfavorable
Answer:
A beginning of a great business
Explanation:
Not for sure that the answer