Answer:
the psychological design of saving energy by not working will increase in frequency while the psychological design of expending effort to get food will decrease.
Explanation:
This will be because the ones working hard will see that they can get food without without working for it so they will stop working too and start devoting this extra energy for reproduction. Plus ones working hard will get tired of looking for increase in population without food and they will stop sharing. This general inclination should be selected against because many people will not work and start depending on other to share it with them.
Answer:
a) The required rate of return is 14.75%
b) The expected return on this stock is 16% which is more than its required rate of return 14.75%, thus it is underpriced.
Explanation:
a)
Using the SML equation, we can calculate the required rate of return (r) of a stock.
r = rFR + β * (rM - rFR)
r = 6% + 1.25 * (13% - 6%)
r = 0.1475 or 14.75%
b)
The SML shows the return that is required on a security based on the risk is carries. Using SML we calculate the required rate of return which is the percentage return that investors require a security to provide.
If the expected return is greater than the required rate of return which means that security is expected to provide more than is required then the security is underpriced.
The expected return on this stock is 16% which is more than its required rate of return 14.75%, thus it is underpriced.
Answer:
c) $20,000.
Explanation:
The computation of the estimated ending inventory is shown below:
We know that
Cost of goods sold = Beginning inventory + purchase made - ending inventory
And, the
Sales - gross profit = Cost of goods sold
$100,000 - $100,000 × 30% = Cost of goods sold
So, cost of goods sold would be
= $100,000 - $30,000
= $70,000
Now the ending inventory would be
$70,000 = $18,000 + $72,000 - ending inventory
$70,000 = $90,000 - ending inventory
So, the ending inventory would be
= $90,000 - $70,000
= $20,000
B. The account holder
It is their responsibility to document in the checkbook register when they write checks and how much they are for.
<span>A possible reason that a company would sell stock is to help expand their business, hire more people and develop new technology. Businesses will sell stock so that they can accumulate more cash on hand to have for funding other projects within the company. Having more cash on hand allows for more options to grow at a quicker rate. </span>
