ane has a portfolio of 20 stocks, each stock has a Beta of 1.2; and Dick has a portfolio of 2 stocks, each has a Beta of 1.2. Assuming the market is in equilibrium, Elearly STATE which of the choice(s) is/are CORRECT and which are INCORRECT? If a statement is incorrect, you must briefly explain why. (Note: You can write several Full sentences in the answer boxes but keep the explanations to 5-30 words).

Q: 7) What is an ESOP? What are the characteristics and rules of an ESOP plan?

A: ESOP stands for Employee Stock Ownership Plan. It is a kind of employee benefit plan that gives the…

Q: Do question 6

A: Balance sheet is a type of financial statements that show the financial balances of any company at…

Q: Which components of audit risk can an auditor control? Explain

A: An auditor is a professional who is responsible for verifying a business entity's financial…

Q: 10. What are documentation types for internal control

A: Internal control documentation can take various forms, including flowcharts, policy and procedure…

Q: please explain 120/360

A: Solution: Interest amount is computed using formula = Principal * Interest rate * time Where time is…

Q: P12.2 (c)

A: Ending Retained Earnings  = Beginning Retained Earnings  + Net income - dividend declared…

Q: requirements

A: These are the following- 1. Such risks must be statistically predictable- This is one of the major…

Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…

A: T Accounts    1. Cash Account Particular Debit Particular Credit         To capital A/c…

Q: iii. Do you think the regulatory requirements in Tier 2 should be tightened? Why or Why not?

A: Please note since, the context and industry has not been specified, this question has been answered…

Q: State 20 Ethical Related Issues in Business and proposed suitable solutions for the identified…

A: Ethical issues in business can be identified and addressed by adequate compliance policies adopted…

Q: mni.4 answer must be in proper format or i will give down vote

A: Approach to solving the question: post the question  Detailed explanation: Post the question and the…

Q: The susceptibility of an assertion about a class of transaction, account balance or disclosure to a…

A: Audit risk is the possibility that an auditor won't find fraud or errors while reviewing a client's…

Q: 321,818 is incorrect. What is the correct answer?

A: Revenue: We consider unit sales and price per unit to determine total revenue.Variable Costs: Based…

Q: Question 8

A: When net credit sales is divided with average accounts receivable it results in receivable turnover…

Q: How do I do PR 20-3a

A: Sales revenue: It is the revenue earned by a business on selling the goods or providing services to…

Q: E14.4

A: Introduction: Statement of cash flows: All cash in and out transactions are recorded in statement of…

Q: Explanation 1031 like-kind exchange

A:

Q: Ihshl

A: The Fundamental accounting equation, likewise called the accounting report condition, speaks to the…

Q: What distinguishes a current liability from a long-term liability?  Why is it so important to report…

A: Liabilities: The claims creditors have over assets or resources of a company are referred to as…

Q: the correct answer is 12.5

A: When a company goes public, it issues stocks to investors in exchange for capital. The investor who…

Q: ROE  34.25% RNOA  17.28% What inference can I draw based on this ROE and RNOA

A: Return on equity (ROE) is a profitability ratio which shows the portion of net income available for…

Q: Which of the following value is concerned with the way we approach the end states?

A: Option a

Q: 5 examples of Riba al-Fadl

A: Riba al-Fadl is barter exchange of 2 similar commodities where either the quality or quantity is…

Q: So the answer is  1394 or2450?

A: The deductible business expenses are the expenses which are incurred for business. If the expenses…

Q: What covers the cost of a variable annuities death benefit?

A: The question is related to the Insurance and is related to Variable annuities.

Q: An example of an appraisal cost would be: O Scrap O Process or product design O Product recalls O…

A: Cost of Good Quality is incurred in order to reduce the Cost of Poor Quality, so that overall Cost…

Q: 5151.5, should not the 0.5 go in and become 5152?

A: In the given case, when decimal is greater than or equal to 0.5, then it is rounded off to next…

Q: 20-An information is relevant if it has the ability to. a. Give historical data b. Be uncertain c.…

A: Information is combination of facts that is provided to various stakeholders for their use.…

Q: Section 1250 summary

A: Section 1250 of the United States Internal Revenue Code is a rule wherein IRS will tax a gain from…

Q: sh6 please help me Thankyou Discuss the Sarbanes Oxley Act of 2002. Do you think it was…

A: In response to several high-profile corporate accounting scandals that shook the US financial…

Q: two questions

A: Prepare an income statement.

Q: Prior (Past) service cost is expensed immediately using which of the following? a. U.S. GAAP. b.…

A: Prior or past service cost refers to the changes in the PV of defined benefit obligations due to the…

Q: E11.4

A: Bonds payable: It is a long term liability to the organization issuing it. It is issued to raise…

Q: mitiating a new project may require to set up a new organization, although temporarily

A: Initiating a new project can be done in various ways, depending on the nature, scope, and complexity…

Q: 5 basic of pulic sector ethics

A: Ethics implies the arrangement of rules that the association ought to follow. While in business,…

Q: What is FASB ASC Topic 842 about?

A: FASB ASC is the authoritative source of U.S. Generally Accepted Accounting Principles (GAAP)…

Q: Question No 01                                                                   What is a…

A: Partnership- It is an agreement between two or more people to contribute capital to a business,…

Q: Explain briefly on the misconception about Riba

A: Riba is term that refers to the earnings and assets that are earned through corrupt means. The…

Q: 22 An example of a prevention cost would be: Scrap O Product recalls O Adjusting test equipment O…

A: Preventive costs are the costs that a company incurs to prevent defects from occurring in a product…

Q: Case studies are usually descriptive in nature. O True O False

A: True

Q: 11-14

A: Weighted Average Cost of Capital(WACC) shows approximate cost for company to finance their existing…

Q: List 5 principals of internal control

A: The principle to manage the internal business by the managers.

Q: What is covered by Regulation S–X?

A: Regulation S-X is a U.S. Securities and Exchange Commission rule that covers annual reports from…

Q: Undeclared dividends (in arrears) to cumulative preferred stockholders must be filed to. in the…

A: Solution:- As we know, the preferred shares are paid dividend prior to common shares. There is a…

Q: 1. Prepare a contribution margin analysis report for the year ended December 31. 2. At a meeting of…

A: Variable Costing: Variable costing is the method that is used by the management (managers) for…

Loanable Funds Theory

The loanable funds theory is a neoclassical theory that determines the interest rate where the demand for loanable investments and supply of loanable funds intersect. To determine the interest rate, this theory employs linear regression and a demand curve. At the equilibrium point, demand for borrowings and demand for the issuance of borrowing funds are inextricably linked. This point of equilibrium should equalize demand and the supply of money available for borrowing.