An investor is considering the following three stocks to invest. Suppose that the current T-bill rate is 5% and the market rate of return is 13%
|
Stock A |
Stock B |
Stock C |
|
|
Beta |
1.3 |
1.0 |
0.7 |
Which of the following statements is FALSE based on CAPM?
a) None of the alternatives is false.
b) If the investor puts equal amount of money in each of the three stocks, he/she is expected to earn 13% from the portfolio.
c) The current market price of stock B is such that it is expected to earn 15%. Therefore, the stock is currently undervalued.
d) On average, stock C moves in the same direction as the S&P 500 index.
e) Stock A is more risky than the market portfolio.
In: Finance
| ('$) | ('$) | ||||||
| Unit. | Total | Balance | |||||
| Date | Explanation | Units. | Cost | Cost | in Units | ||
| Jun-01 | Beginning inventory. | 50 | 1.0 | 50 | 50 | ||
| Jun-06 | Purchase | 50 | 1.2 | 60 | 100 | ||
| Jun-10 | Sales | 60 | 40 | ||||
| Jun-13 | Purchase | 150 | 1.4 | 210 | 190 | ||
| Jun-20 | Purchase | 100 | 1.6 | 160 | 290 | ||
| Jun-25 | Purchase | 150 | 1.8 | 270 | 440 | ||
| Jun-30 | Sales | 200 | 240 | ||||
FIFO Periodic System
COGS:
Ending Inventory:
Average Cost Periodic System
COGS:
Ending Inventory:
FIFO Previous System
COGS:
Ending Inventory:
Average Cost Previous System
COGS:
Ending Inventory:
Show Solutions
In: Accounting
A summary of Klugman
Company's December 31, 2021, accounts receivable aging schedule is
presented below along with the estimated percent uncollectible for
each age group:
| Age Group | Amount | % | ||||
| 0–60 days | $ | 68,000 | 0.5 | |||
| 61–90 days | 26,000 | 1.0 | ||||
| 91–120 days | 3,800 | 10.0 | ||||
| Over 120 days | 1,200 | 50.0 | ||||
The allowance for uncollectible accounts had a balance of $1,480 on
January 1, 2021. During the year, bad debts of $830 were written
off.
Required:
Prepare all journal entries for 2021 with respect to bad debts and
the allowance for uncollectible accounts. (If no entry is
required for a transaction/event, select "No journal entry
required" in the first account field.)
In: Accounting
The potential barrier is defined by V(x) = ((A^2-(x^2)*(b^2))^0.5 where x is less than or equal to A/b.
First we want to sketch V(x)
Then we run a particle into it wth mass m and energy E (which is less than A). Now that we have run the particle into it we are asked to derive an expression for the probability of penetration in terms of D = E/A and sin (y) = bx/A.
Finally, we are to evaluate our expression in numerically for D=0.1 to 1.0 in steps of 0.1 for an electron stricking such a barrier with A=10 eV and b=2eV/angstrom.
Help!! I have no idea how to start this monster. How do I sketch this??
In: Physics
Answer the following questions involving specific heat capacities :
a ) How much energy is required to change 42 g ice cube from ice at -11°C to steam at 111°C?
b ) Liquid nitrogen, which has a boiling point of 77 K, is commonly used to cool substances to low temperatures. How much energy must be removed from 1.0 kg of gaseous nitrogen at 77 K for it to completely liquefy?
c ) How much energy is needed to melt 0.225 kg of lead so that it can be used to make a lead sinker for fishing? The sample has an initial temperature of 27.3°C and is poured in the mold immediately after it has melted.
In: Physics
In: Accounting
a) A(n) 85-g ice cube at 0°C is placed in 920 g of water at 20°C. What is the final temperature of the mixture?
b) A 103-g cube of ice at 0°C is dropped into 1.0 kg of water that was originally at 87°C. What is the final temperature of the water after the ice has melted?
c) An aluminum cup contains 225 g of water and a 40-g copper stirrer, all at 27°C. A 432-g sample of silver at an initial temperature of 89°C is placed in the water. The stirrer is used to stir the mixture gently until it reaches its final equilibrium temperature of 32°C. Calculate the mass of the aluminum cup.
In: Physics
A 10-cm-long thin glass rod uniformly charged to 15.0 nC and a 10-cm-long thin plastic rod uniformly charged to - 15.0 nC are placed side by side, 4.30 cm apart. What are the electric field strengths E1to E3 at distances 1.0 cm, 2.0 cm, and 3.0 cm from the glass rod along the line connecting the midpoints of the two rods?
Part A
Specify the electric field strength E1
Express your answer with the appropriate units.
Part B
Specify the electric field strength E2
Express your answer with the appropriate units.
Part C
Specify the electric field strength E3
Express your answer with the appropriate units.
In: Physics
At least 99% of all the scores are within 3 standard deviations of the mean.
Hypothesis testing procedure uses sample statistics (based on the sample) to reach a conclusion about the population parameter.
It is possible to prove that the means of five populations are equal.
The mean of all sample standard deviations is equal to the overall standard deviation.
The mean of all sample means is equal to the overall mean.
The mean is the score at the 50th percentile.
Using statistics, it is possible to prove that smoking causes lung cancer.
Mean of normal distribution lies at the tail of the normal curve, which is also the median and mode of the distribution.
Two samples are independent if the chi-squared test statistic is above 1.0.
In: Statistics and Probability
Ali has 100 jobs that he must do in sequence, with the times required to do each of these jobs being independent random variables with mean 1.3 minutes and standard deviation 3.0 minutes. Aysun has 200 jobs that she must do in sequence, with the times required to do each of these jobs being independent random variables with mean 1.0 minutes and standard deviation 2.3 minutes. Note that the time required for Ali to do any of his jobs is independent from the time required for Aysun to do any of her jobs. Find the probability that Ali finishes before Aysun. Note that you just need to get an approximate probability using Central Limit Theorem.
In: Statistics and Probability