Answer:
1. the overall operation of the national and global economy.
2. The B she received on the exam.
3. the slope of the graph is negative.
4. the slope of the graph is positive.
5. graphically illustrates the concept of scarcity.
6. increasing opportunity cost.
Explanation:
1. Macroeconomics is best defined as the study of the overall operation of the national and global economy.
Macroeconomics can be defined as the study of behaviors, performance and factors that affect the entire economy. Hence, it focuses on aggregate phenomena such as price level, economic growth, Gross Domestic Product (GDP), inflation, unemployment and national income levels with respect to the central bank, demand or supply shocks, government policies, aggregate spending and savings.
2. The opportunity cost of going to the beach is the "B" grade she received on the exam.
In Economics, opportunity cost also known as the alternative forgone, can be defined as the value, profit or benefits given up by an individual or organization in order to choose or acquire something deemed significant at the time.
Thus, the value of the opportunities lost (scoring an "A" grade) by going to the beach is the opportunity cost of her choice.
3. When two variables have an inverse relationship, then the slope of the graph is negative.
An inverse relationship can be defined as a relationship between two variables, in which an increase in the value of one variable leads to a decrease in the value of the other variable i.e as the value of one variable becomes large, the value of the other variable becomes small.
4. When two variables have a direct relationship, then the slope of the graph is positive.
A positive relationship or correlation can be defined as the relationship between two variables in which there exist a direct relationship between them i.e as one variable increases, the other increases and vice-versa.
5. The production possibilities curve graphically illustrates the concept of scarcity.
The production possibilities curve (PPC) is also known as the production possibilities frontier (PPF) and its a curve which illustrates the maximum (best) combinations of two products that can be produce in an economy if they both depend on these factors;
1. Technology is fixed.
2. Resources are fixed.
6. A production possibilities curve that is concave or bowed out from the origin represents increasing opportunity cost.
The production possibilities curve (PPC) is depicted graphically as an arc, by representing one good on the y-axis and the other on the x-axis.
Carmichael Inc. has a beginning balance in Accounts Receivable of $100,000 at June 1. On June 24, Carmichael sells $20,000 of merchandise to K. Low, terms 2/10, n/30. Assuming just this one transaction occurred, what is the ending balance in Accounts Receivable at June 30 under the gross method
Answer:
$120,000
Explanation:
Particulars Amount
Beginning balance in accounts receivables A/C $100,000
Add: Credit sales $20,000
Ending balance in accounts receivables A/C $120,000
1. A cash reserve of 15% on deposit and customers deposit $150.000 in the bank, show the
bank balance sheet and calculate money creation multiplier
Answer:
Please check the attached image for an image of the balance sheet of the bank
money multiplier money creation : $1,000,000
Explanation:
Required reserves is the percentage of deposits required of banks to keep as reserves by the central bank
Required reserves = reserve requirement x deposits
$150,000 x 0.15 = $22,500
The amount of loan that the bank can grant = deposits - reserves
$150,000 - $22,500 = $127,500
Money multiplier = amount deposited / reserve requirement
$150,000 / 0.15 = $1,000,000
If the expected returns of two stocks are the same but the standard deviations of the returns differ, which security is to be preferred
Franchising can be a beneficial way for entrepreneurs to get a head start in launching their own businesses since they do not have to pay the franchisor royalties after buying the franchise. true or false
Answer:
false
Explanation:
A franchise provides entrepreneurs with a shortcut way of starting a business without necessarily beginning from the scratch.
The entrepreneur is free to leverage on the trademark and the customer base of the franchisor. This eliminates part of the risk associated with starting an entirely new business.
However, the franchisee continues to pay royalty to the franchisor which makes the franchise arrangement quite expensive.
Hailey Corporation pays a constant $9.45 dividend on its stock. The company will maintain this dividend for the next 13 years and will then cease paying dividends forever. If the required return on this stock is 10.7 percent, what is the current share price?
Answer:
$64.76
Explanation:
The current share price can be determined by calculating the present value of the dividend
Present value is the sum of discounted cash flows
Present value can be calculated using a financial calculator
Cash flow from year 1 to 13 = 9.45
I = 10.7
PV = 64.76
To find the PV using a financial calculator:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.
3. Press compute
If the Federal Reserve buys $8,500 worth of securities from non-bank public, and the non-bank public then keeps the payment from the bank as cash, then
a: R increases by $8,500 and the MB rises by $8,500
b: C and R both increase by $8,500, and the MB does not change
c: C increases by $8,500 and the MB increases by $8,500
d: C increases by $8,500 and the MB does not change
Answer:
c: C increases by $8,500 and the MB increases by $8,500
Explanation:
If the Federal Reserve buys $8,500 in securities from non-bank public and then payment is kept from the bank in form of cash, theC increases by $8,500 and the MB increases by $8,500
Suppose the dividends for the Seger Corporation over the past six years were $1.42, $1.50, $1.59, $1.67, $1.77, and $1.82, respectively. Assume that the historical average growth rate will remain the same for 2020. Compute the expected share price at the end of 2020 using the perpetual growth method. Assume the market risk premium is 13.5 percent, Treasury bills yield 4.5 percent, and the projected beta of the firm is .75.
Answer:
$20.05
Explanation:
Calculating the required rate using CAMP Model
Required rate = Risk free rate + Beta*Market risk premium
Required rate = 4.5% + 0.75*13.5%
Required rate = 4.5% + 10.13%
Required rate = 14.63%
Calculating the growth rate using Future value method
Future value = Present value * (1+r)^n
r = [tex]n\sqrt{Future value/Present value }[/tex] - 1
r = [tex]5\sqrt{$1.82/$1.42}[/tex] - 1
r = 1.05088842546 - 1
r = 0.05089
r = 5.09%
Stock price = Last year dividend * (1 + Growth rate) / (Required rate - Growth rate)
Stock price = $1.82 * (1+0.05089) / (0.1463-0.05089)
Stock price = $1.82*1.05089 / 0.09541
Stock price = $1.9126198 / 0.09541
Stock price = $20.04632428466618
Stock price = $20.05
So, the expected share price at the end of 2020 using the perpetual growth method is $20.05.
The first three cars I bought all fell apart around 50,000 miles. It was called planned obsolescence and no one seemed to care until companies entered the market that promised 70,000, then 80,000, and finally 100,000 warranties. What sets a great car apart from a good one now is not the quality, which is assumed, but performance, safety and fuel economy. A car that can achieve all three is highly sought after. In the automotive market, performance, safety and fuel economy are sterling examples of:________.
A) order winners.
B) the voice of the engineer.
C) order qualifiers.
D) the voice of the customer.
Answer:
A)order winners.
Explanation:
Order winners can be regarded as competitive advantages, these advantages could be product design,
delivery speed, as well as reliability and image that influence the customers of that firm in selection of
products or services if that firm. It can be regarded as the reason that draw customers to purchase the product of a company. It should be noted that ability of a company to win orders on the market can be attributed to the company competitiveness.
Bond Company uses a plantwide overhead rate with direct labor hours as the allocation base. Use the following information to solve for the amount of direct labor hours estimated per unit of product G2.
Direct material cost per unit of G2 $13
Total estimated manufacturing overhead $312,000
Total cost per unit of G2 $28
Total estimated direct labor hours 156,000 DLH
Direct labor cost per unit of G2 $4.85
a. 5.08 DLH per unit of G2.
b. 17.85 DLH per unit of G2.
c. 8.60 DLH per unit of G2.
d. 0.52 DLH per unit of G2.
e. 2.00 DLH per unit of G2.
Answer:
a. 5.08 DLH per unit of G2.
Explanation:
The calculation is given below:
We know that
Direct material + direct labor + applied overhead = Total cost
$13 + 4.85 + x = 28
x = 28 - 13 - 4.85 1
= 10.15 overhead per unit
Now
Estimated overhead rate
= $312000 ÷ 156000
= 2.0
So, the Direct labor hours per unit is
= 10.15 ÷ 2
= 5.08
Cheese Mart LLC sells cheese to Pizza Palace for $1,500. Pizza Palace uses the cheese to make pizzas, selling them to consumers for a total of $9,000. These transactions contribute ________ to the gross domestic product (GDP).
Answer: $9000
Explanation:
The gross domestic product (GDP) is the final value of the goods that are produced in an economy. In this case, we are only interested in the final value which is the $9000.
It should be noted that when Cheese Mart LLC sells cheese to Pizza Palace for $1,500, this is an intermediate good and should not be counted when calculating the GDP.
3. If nominal GDP and real GDP both drop by 10 percent, then the GDP deflator Question 3 options: also rises by 10 percent rises by about 20 percent falls by 10 percent is unchanged
Answer: unchanged
Explanation:
The formula for calculating the GDP price deflator is:
= (Nominal GDP / Real GDP) × 100
Let's assume that the nominal GDP and the real GDP is $100 million. Then if they drop by 10%, they will both be $90 million, then the deflator will be:
= (90m / 90m) × 100
= 100
Therefore, the GDP deflator will be unchanged.
Flannigan Company manufactures and sells a single product that sells for $450 per unit; variable costs are $300. Annual fixed costs are $870,000. Current sales volume is $4,200,000. Flannigan Company management targets an annual pre-tax income of $1,125,000. Compute the unit sales to earn the target pre-tax net income.
a. 4,333.
b. 7,500.
c. 6,650.
d. 13,300.
e. 11,750.
Answer:
Break-even point in units= 13,300
Explanation:
Giving the following information:
Unitary selling price= $450
Fixed cost= $870,000
Unitary variable cost= $300
Desired profit= $1,125,000
To calculate the units to be sold, we need to use the break-even point with desired profit:
Break-even point in units= (fixed costs + desired profit) / contribution margin per unit
Break-even point in units= (870,000 + 1,125,000) / (450 - 300)
Break-even point in units= 13,300
Preparation of the statement of cash flows does not involve: Select one: a. Computing the net increase or decrease in cash. b. Computing and reporting net cash provided or used by operations. c. Computing the profit compared to the net increase or decrease in cash. d. Computing and reporting net cash provided or used by financing activities. e. Computing and reporting net cash provided or used by investing activities.
Answer:
c. Computing the profit compared to the net increase or decrease in cash.
Explanation:
In a typical cash flow statements, the company's activities are divided into 3 sections that are recognized in the cash flow statements.
These are operating activities, investing activities and financing activities.
Operating activities includes cash inflow/outflow as a result of changes to inventory, payables and receivables.
Investing activities includes cash inflow/outflow from the disposal/acquisition of assets while financing includes cash inflow/outflow from the sale of shares.
Hence the only option not involved in the preparation of the statement of cash flows is computing the profit compared to the net increase or decrease in cash.
Hellppp ASAP please I need help with business I have another question to
Answer:
Well what are the options
A producer of fixed proportion goods X and Y ( Q = QX = QY) has marginal costs and revenues of MC = 12 Q, MRX = 54 – 6 QX, MRY = 126 – 12 QY . The producer should produce how many units?
Answer:
A producer of fixed proportion goods X and Y ( Q = QX = QY) has marginal costs and revenues of MC = 12 Q , MRX = 54 – 6 QX , MRY = 126 – 12 QY . The producer should produce how …
During a conversation with the credit manager, one of Tabor's sales representatives learns that a $1,234 receivable from a bankrupt customer has not been written off but was considered in the determination of the appropriate year-end balance of the Allowance for Bad Debts account balance. What is the effect of write-off on 2013 net income
Answer:
The answer is "No Effect ".
Explanation:
In the situation wherein the write-off would not affect the 2019 net earnings, the write-off reduces that both debt accounts as well as the benefit counter-asset for similar quantities. Whenever an expenditure was recognized, net revenues were affected, therefore, there will be nothing to write off under the allowance approach, so the response is no effect.
one characteristic that has allowed the US economy to change the mix of output in response to customer demand is
Answer:
The ease with which resources move from one industry to another.
Explanation:
An economy is a function of how money, means of production and resources (raw materials) are carefully used to facilitate the demands and supply of goods and services to meet the unending needs or requirements of the consumers.
Basically, there are four (4) main types of economy and these are;
I. Mixed economy.
II. Command economy.
III. Traditional economy.
IV. Pure capitalism economy.
Pure capitalism also referred to as free-enterprise system or free market can be defined as a type of economy in which prices, products and services are being determined by the market rather than the government. Thus, a pure capitalism is devoid (free) of government regulations, interference or control because the market (enterprises) are the ones who are saddled with the responsibility of determining the market forces.
Simply stated, a pure capitalism is a type of economy that is completely driven by demand and supply of goods and services.
Hence, a characteristic that has allowed the economy of the United States of America to change the mix of output in response to customer demand is the ease with which resources move from one industry to another due to pure capitalism or its free-enterprise system.
Harvey quit his job at State University where he earned $45,000 a year. He figures his entrepreneurial talent or forgone entrepreneurial income to be $5,000 a year. To start the business, be cashed in $100,000 in bonds that earned 10% interest annually to buy a software company, Extreme Gaming. In the first year, the firm sold 11,000 units of software at $75 each. Of the $75, $55 goes for the costs of production, packaging, marketing, employee wages and benefits, and rent on a building.
Required:
What's the economic profit generated by Extreme Gaming in the first year?
Answer:
$160,000
Explanation:
Economic profit = accounting profit - implicit cost
Accounting profit= total revenue - explicit cost
Total revenue =price x quantity sold
total revenue = 75 x 11,000 = 825,000
Explicit cost includes the amount expended in running the business.
explicit cost = 55 x 11,000 = 605,000
Accounting profit = 825,000 - 605,000 = 220,000
Implicit cost is the cost of the next best option forgone when one alternative is chosen over other alternatives
Harvey's implicit costs = amount he would have earned in the university + income from entrepreneurial talent + interest income
Interest income = 0.1 x 100,000 = 10,000
10,000 + 45,000 + 5,000 = 60,000
Economic profit =220,000 - 60,000 = 160,000
Four roommates are planning to spend the weekend in their dorm room watching old movies, and they are debating how many to watch. Here is their willingness to pay for each film:
Willingness to Pay
(Dollars)
Van Carlos Felix Larry
First film 10 9 6 3
Second film 9 7 4 2
Third film 8 5 2 1
Fourth film 7 3 0 0
Fifth film 6 1 0 0
Within the dorm room, the showing of a movie____a public good.
If it costs $8 to rent a movie, the roommates should rent____movies in order to maximize the total surplus.
Suppose the roommates choose to rent the optimal number of movies you just indicated and then split the cost of renting equally This means that each roommate will pay____.
Complete the following table with each roommate's total willingness to pay for this many movies and the surplus each person obtains from watching the movies.
Total Willingness to Pay Consumer Surplus
Roommate (Dollars) (Dollars)
Carlos
Felix
Larry
Raphael
In order to split the cost in a way that ensures that everyone benefits, the cost could be divided up based on the benefits each roommate receives. The practical problem with this solution is that each roommates has an incentive to____the value of the movies to him. Suppose they agree in advance to choose the efficient number and to split the cost of the movies equally.
Answer:
See the five answers below.
Explanation:
The roommates are debating how many movies they should watch.
This is the constraint; given that they have to pay to rent each movie.
PART (A)
Since their dormitory room is the 'cinema', meaning that it's just going to be 4 of them and a private good that they'll pay for; then the showing of a movie is not a public good!
Public goods are those general utilities usually provided by governments, for their citizens; e.g. public defense, clean drinking water, good roads, etcetera.
PART (B)
Given the 'willingness to pay' constraint, we need to find the optimal number of movies they can watch. It costs $8 to rent a movie, no matter how interesting it is or how much satisfaction the viewers derive from it. So the cost of the 1st film = the cost of the 2nd film = the cost of the 3rd film = the cost of the 4th film = the cost of the 5th film.
To get the total amount they're willing to pay for all 5 movies, sum up!
(10+9+6+3) + (9+7+4+2) + (8+5+2+1) + (7+3+0+0) + (6+1+0+0)
KEY: This arrangement should remind you of the law of diminishing marginal utility. The more movies they watch in one sitting or over a weekend, the less satisfaction they derive from the intangible commodity. Hence, the less they are willing to pay for more of the commodity.
So the sum is 28 + 22 + 16 + 10 + 7 = 83
Now to get the number of movies they should rent if they wish to maximize their total spending, divide the total willingness to pay by the cost for a movie:
83/8 = 10.375
Rounding up to the nearest whole number or in reality, that's 10 movies.
PART (C)
Suppose the roommates choose to rent this optimal number of movies - which is higher than the intended number of movies - and then split the cost equally, what will each roommate pay?
Here, we will use the approximated value 10.
10movies x $8 = $80
Splitting the cost equally, divide by 4
$80 ÷ 4 = $20
This figure is just in obedience to the question's requirements which says the bill must be shared equally. In actual fact, some of the four roommates don't have a purchasing power or willingness that is up to $20! That's Felix and Larry.
PART (D)
Complete the given table by inputing each roommate's total willingness to pay for the 5 movies and the surplus each person obtains from watching the movies. Remember to assume that Van is the same person as Raphael.
Also, total cost for 5 movies is 8 x 5 = $40
Dividing this by 4, you have $10 per roommate. So a surplus would be the excess of each roommate's TWTP over $10.
TWTP($) CS($)
VAN 40 30
CARLOS 25 15
FELIX 12 2
LARRY 6 -4
PART (E)
If the cost is divided up based on the benefits (remember how the price for movie was static despite the movie and satisfaction received by each viewer? That's about to change) or satisfaction each roommate receives, the practical problem with this 'solution' is that each roommate has an incentive to reduce the value of the movies to him; and this can only be measured by the efficient number (the number that rates the value each roommate derives from each movie). In this case, the incentive is the window given to each roommate to 'not tell the truth' about their level of satisfaction from watching each movie, because that would mean a higher bill for the individual.
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Why would a firm that incurs losses choose to produce rather than shut down? In a perfectly competitive industry, if a firm is incurring losses, then it might choose to produce in the short run because A. is greater than , resulting in profit in the long run. B. is greater than , resulting in smaller losses than would result from shutting down. C. variable costs are greater than fixed costs, resulting in smaller losses than would result from shutting down. D. zero in the long run, resulting in profit in the long run. E. is greater than , resulting in smaller losses than would result from shutting down.
Answer:
E. price is greater than , resulting in smaller losses than would result from shutting down
Explanation:
The firm incurred losses and select to generate instead of shutting down as in the perfect competifive market if a firm has the loss so it produce in the short run because here the price should be more than due to which it result in less losses as compared to the losses at the time of shutting down
So as per the given situation, the option e is correct
MC Qu. 99 The Work in Process Inventory account... The Work in Process Inventory account of a manufacturing company that uses an overhead rate based on direct labor cost has a $5,220 debit balance after all posting is completed. The cost sheet of the one job still in process shows direct material cost of $2,200 and direct labor cost of $1,000. Therefore, the company's overhead application rate is:
Answer:
202%
Explanation:
Calculation to determine what the company's overhead application rate is
First step is to calculate the Total manufacturing overhead using this formula
Total manufacturing overhead = Overhead rate - Direct material cost - Direct labor cost
Let plug in the formula
Total manufacturing overhead =5220 - 2,200 - 1000
Total manufacturing overhead =2020
Now let determine the overhead application rate using this formula
Overhead application rate=Total manufacturing overhead/Direct labor cost
Let plug in the formula
Overhead application rate=2020/1000*100
Overhead application rate=202%
Therefore, the company's overhead application rate is:202%
A minimum acceptable rate of return for an investment decision is called the: Multiple Choice Internal rate of return. Average rate of return. Hurdle rate of return. Maximum rate of return. Payback rate of return.
Answer:
Hurdle rate of return.
Explanation:
A hurdle rate can be regarded as minimum rate of return that is been required by an investor or manager
on a particular project or investment.
The hurdle rate gives the description of the appropriate compensation as regards level of risk present. There are
higher hurdle rates associated with riskier projects.
It should be noted that A minimum acceptable rate of return for an investment decision is called the Hurdle rate of return.
A company's direction, objectives, and strategy Group of answer choices are set in stone as the end of the planning process. never have to be revisited, even if time pressures or internal conditions warrant. are insulated from disruptive changes that a company might experience in its external environment. are never final, as managing strategy is an on-going, dynamic process. are primarily a now-and-then task.
Answer:
are never final, as managing strategy is an on-going, dynamic process.
Explanation:
In Business management, a strategy can be defined as a set of guiding principles, actions and decisions that an organization combines so as to achieve its business goals, attract customers and possess a competitive advantage over its rivals in the industry.
Business strategy sets the overall direction for the business because it focuses on defining how a business would achieve its goals, objectives, and mission; as well as the funds and material resources required to implement or execute the business plan. The components of a business strategy includes the following;
I. Value.
II. Vision.
III. Mission.
Hence, a company's direction, objectives, and strategy are never final because managing strategy is a continuum or an on-going, dynamic process. Thus, it's never a now and then task.
Traditional project management focuses on thorough planning up front. Such planning requires ____. Multiple Choice predictability All of these alternatives are correct a planning schedule a planning budget thoroughness
Answer:
Traditional project management focuses on thorough planning up front. Such planning requires ____.
All of these alternatives are correct
Explanation:
Traditional project management requires processes to occur in a predictable manner. Such an approach follows an upfront planned set of stages based on the assumption that the requirements for each project will remain fixed while the budget and project timeline can alter according to user requirements and prevailing circumstances. It lacks agility but requires thorough upfront planning.
The traditional project management focuses on mainly on thorough planning up front and requires high predictability.
The traditional project management entails an approach which works for most environments.
The Traditional project management refers to the process of planning, executing and controlling of set of tasks to arrive at the desired goal under a budget The traditional project management focuses on mainly on thorough planning up front and requires high predictability.Therefore, the Option A is correct.
Read more about traditional project management:
brainly.com/question/14318704
Paul’s Pizza Parlor bakes pizza pies according to Q = 3 L – 0.3 L 2. If labor costs $6 and pizza sells for $10, the optimal amount of labor is:
Answer: 4 units of labor
Explanation:
Optimum amount of labor occurs where marginal revenue equals marginal cost which means:
Marginal revenue product = Cost of labor
Marginal revenue product = Marginal product of labor * Prize of pizza
Marginal product of labor = differentiation of Q
= dQ/dL
= d(3L - 0.3L²)
= 3 - 0.6L
Marginal revenue product = (3 - 0.6L) * 10
= 30 - 6L
Marginal revenue product = Cost of labor
30 - 6L = 6
30 - 6 = 6L
L = 24/6
= 4 units of labor
A refiner produces heating fuel and gasoline from crude oil in virtually fixed proportions. What can you say about economies of scope for such a firm? What is the sign of its measure of economies of scope, SC?
Answer:
The cost benefits of simultaneous manufacturing do not exist and there are thus no economies as well as range disadvantages. A further explanation is provided below.
Explanation:
Scope savings are environmental impacts if a variety of commodities are produced collectively when producing these commodities collaboratively is far less costly than individually.Throughout this case, the manufacturer can create two items from the main resource although manufacturing takes place in some kind of a set proportion. Therefore includes the amount of production is identical to the expenditure of combined production of the products.Thus the above is the appropriate solution.
40. Giả sử tỷ giá giao ngay của EUR là 0.9 USD/EUR . Tỷ giá giao ngay dự kiến một năm sau là 0.85 USD/EUR, % thay đổi của tỷ giá giao ngay là :
Answer:
Sorry I can't understand
You have decided to start saving up to buy a house. You plan on withdrawing $25,000 at the end of year 4 for a down payment, $18,000 at the end of year 5 and again $18,000 at the end of year 6 for upgrades, and $20,000 at the end of year 7 to add a pool. How much do you need to deposit today into an account with an annual interest rate of 1.25%
Answer:
$75,745.56
Explanation:
In order to determine how much to deposit today, calculate the present value of the cash flows
Present value is the sum of discounted cash flows
Present value can be calculated using a financial calculator
Cash flow in year 1 - 3 = 0
Cash flow in year 4 = $25,000
Cash flow in year 5 = $18,000
Cash flow in year 6 = $18,000
Cash flow in year 7 = $20,000
I = 1.25 %
PV = $75,745.56
To find the PV using a financial calculator:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.
3. Press compute
Madeline is an interior designer. When she chooses a new color for her client's walls, she always checks the swatch against different colored objects in the room. Madeline is aware of how colors change because of:
Answer:
relative luminance
Explanation:
From the question we are informed about Madeline who is an interior designer. When she chooses a new color for her client's walls, she always checks the swatch against different colored objects in the room. Madeline in this case, is aware of how colors change because of relative luminance.
Relative luminance can as well be regarded as Perceptual constancy, This can be explained as amount of light that can be reflected by an objects on its surroundings. Perceptual constancy is one that visualize familiar objects as one having a consistent color, even though a case whereby light changes the court arises. Relative luminance can be regarded as one that goes in same way as photometric definition of luminance, here Relative luminance has normalized values of 1 or 100 with respect to reference white.
Portfolio Weights If you own 725 shares of Air Line Inc at $42.9, 340 shares of BuyRite at $56.15, and 440 shares of Motor City at $10.15, what are the portfolio weights of each stock?
Answer:
Explanation:
Answer: the portfolio weights of each stock Air Line Inc, BuyRite and Motor City are 0.5690, 0.3493 and 0.0817 respectively.
Explanation:
The total portfolio weight is given as
= 725 shares × $42.90 + 340 shares ×$56.15 + 440 shares × $10.15
=31,102.5 + 19,091 +4,466
=$54,659.5
Now the weight of each stock are as follows
For Air line inc
= 725 shares × $42.90 ÷$54,659.5
=31,102.5/54,659.5
= 0.5690
For Buyrite
= 340 shares × $56.15 ÷ $54,659.5
= 19,091 / 54,659.5
=0.3493
For Motor city
= 440 shares ×$10.15 ÷ $54,659.5
=4,466 /54,659.5
=0.0817
