Answer and Explanation:
The calculations of the stock return for the missing year is shown below:
a. Let us assume the fifth year stock return be x
As we know that
Average rate of return = Total returns ÷ number of years
0.12 = (0.1 - 0.11 + 0.21 + 0.22 + x) ÷ 5
So after solving this, the x is 14%
b. Now the standard deviation of the stock return is presented in the excel spreadsheet
The standard deviation is 13.40%
Answer:
the number of shares to be used in computing basic EPS is 2,100,000.
Explanation:
Basic Earnings Per Share = Earnings Attributable to Holders of Common Stock ÷ Weighted Average Number of Common Stocks
<u>Weighted Average Number of Common Stocks Calculation :</u>
Common Stocks Outstanding on 1 January 2,000,000
Additional Shares 9/12 × 100,000 75,000
Additional Shares 3/12 × 100,000 25,000
Weighted Average Number of Common Stocks 2,100,000
Answer:
<u>Part a: What will be the equilabrium price that Dumphy and Funke will charge?</u>
Answer: Price charged = $30
<u>Part b: What are the profits for Dumphy and Funke at the equilibrium price?</u>
Answer: Profit on equilibrium price = $0
<u>Part c: What type of competition would Funke and Dumphy likely engage in after the decrease in demand?</u>
Answer: Price competition
Explanation:
<u>Part a: What will be the equilabrium price that Dumphy and Funke will charge?</u>
Answer:
Price charged by each of the artists will be equal to their marginal cost.
Thus, equilibrium P = MC = $30.
<u>Part b: What are the profits for Dumphy and Funke at the equilibrium price?</u>
Answer:
Equilibrium profits will be 0 at the equilibrium because price charged is equal to MC, leading to no profits.
<u>Part c: What type of competition would Funke and Dumphy likely engage in after the decrease in demand?</u>
Answer:
Price competition - as changes in price will lead to changes in demand and thus sales
Answer:
Mark-up(%) = 216.67%
Explanation:
<em>The mark-up is the percentage of cost that is earned as profit. It is profit expressed as a proportion of cost.</em>
Mark-up= Profit/cost × 100
<em>Cost = Direct material cost+ direct labour cost + Fixed cost</em>
Cost per unit = 5 + (100,000/10,000)
=15 per unit.
The cost of a pair =2×15 = 30.
The profit per pair = 95 - 30 = $65
Mark-up(%)= $65/30 × 100 = 216.67%
The law of diminishing marginal utility states that as a
person increases consumption of a good while keeping consumption of other
products persistently then there is a drop in the marginal utility<span> that person descends from consuming each extra unit of
that product. So the answer is letter C.</span>
