Answer:
$115,000
Explanation:
Data provided as per the question is below:-
Beginning balance = $81,000
Direct material issued = $27,000
Direct labor incurred = $7,000
The computation balance Process Inventory is shown below:-
Balance in the Work-in-Process Inventory = Beginning balance + Direct material issued + Direct labor incurred
= $81,000 + $27,000 + $7,000
= $115,000
It could, as long as it fulfills these two conditions
- The products could generate enough profit without the boost that givenn by other channel flows.
- The independent operation would not cause a decrease in profit for other channels flow because eventually, business owners only want to do the combination that bring the most profit.
Answer:
New required rate of return = 11.88%
Explanation:
<em>The capital asset pricing model is a risk-based model. Here, the return on equity is dependent on the level of reaction of the the equity to changes in the return on a market portfolio. These changes are captured as systematic risk. The magnitude by which a stock is affected by systematic risk is measured by beta. </em>
<em>Under CAPM, Ke= Rf + β(Rm-Rf) </em>
<em>Ke- required rate of return, Rf-risk-free rate (treasury bill rate), β= Beta, Rm= Return on market.
</em>
Using the model, we work out Beta which is not given and then re-calculate the required rate of return of the new stock
<em>Ke- 11.75 % Rf- 5.5, Rm-Rf = 4.75%, β= ?</em>
11.75% = 5.50% + β(4.75%)
11.75% -5.50% = β(4.75%)
(11.75-5.50)/4.75= β
1.315789474
= β
1.315
= β
New required rate of return
5.50% + 1.315(1.02×4.75)
11.875
New required rate of return = 11.88%
You would turn it in to the police so they can find out whos money it is or you could try to find him
