Because of the additional costs and risks associated with short‐selling, it is much rarer to have a stock trade at 1/3 of its Fundamental Value than a stock trade at 3 times its Fundamental Value.
a. true
b. false

Answers

Answer 1

B. False Short-selling is the practice of borrowing and selling shares of a stock, with the hope of buying them back at a lower price to make a profit.

Therefore, short-selling is typically associated with betting that a stock's value will decrease, which means that short-selling a stock that is trading above its fundamental value (i.e., overvalued) may be more common than short-selling a stock that is trading below its fundamental value (i.e., undervalued). The statement that it is much rarer to have a stock trade at 1/3 of its fundamental value than at 3 times its fundamental value is not necessarily true and is not related to the costs and risks associated with short-selling.

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Related Questions

what is a perfect market?​

Answers

A theoretical market in which buyers and sellers are so numerous and well informed that monopoly is absent and market prices cannot be manipulated.
‘in a perfect market, confidence in a brand should coincide exactly with its market share’

Answer:

A Perfect market is

a market where the sellers of a product or service are free to compete fairly, and sellers and buyers have complete information: The internet has a big part to play in the creation of a perfect market. Compare. imperfect market.

After graduation, you plan to work for XTRA Corporation for 10 years and then start your own business. You expect to save $4,300 a year for the first 5 years and $9,000 annually for the following 5 years, with the first deposit being made a year from today. In addition, your great aunt just gave you a $30,000 graduation gift which you will deposit immediately. If the account earns 6.5% compounded annually, what how much will you have when you start your business 10 years from now?

Answers

After 10 years of working and saving, along with a graduation gift deposit, you will have approximately $148,013.44 when you start your own business.

To calculate the total amount accumulated, we need to consider the annual savings, the graduation gift, and the compound interest earned over the 10-year period.

The annual savings for the first 5 years are $4,300, and for the following 5 years, they are $9,000. The graduation gift is $30,000. The interest rate is 6.5%, compounded annually.

Using the future value of an ordinary annuity formula, we can calculate the future value of the savings:

FV1 = ($4,300 * ((1 + 0.065)^5 - 1)) / 0.065 = $26,193.81

FV2 = ($9,000 * ((1 + 0.065)^5 - 1)) / 0.065 = $54,349.45

Now, we can calculate the future value of the savings and the graduation gift combined:

FV_total = FV1 + FV2 + $30,000 = $26,193.81 + $54,349.45 + $30,000 = $110,543.26

Finally, we need to calculate the future value of the total amount after 10 years with compound interest:

FV_final = $110,543.26 * (1 + 0.065)^10 = $148,013.44

Therefore, when you start your own business 10 years from now, you can expect to have approximately $148,013.44.

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3. A fine-dining restaurant has been making every- thing from scratch for the five years it has been open; it is the only operation in the area known for scratch- cooking. The management hires a new chef who does a make–buy analysis only to discover that she can get much better pricing on many of her products if she buys them premade. After a tasting comparison, she discovers that the premade products are of high quality and taste only slightly different from her own. Should she switch to the premade products? Would your answer be different if this decision took place when the restaurant first opened?

Answers

Answer:

No

Explanation:

The premade products could have been contaminated with any type of disease because she doesn't know what went inside whereas making it from scratch means she is able to monitor and remove and contaminated product.

:)

i gtg see ya all HAhahaahahahahaah

Answers

.-.

uhhhh................

*triggered*

Answer:

byeee

Explanation:

in a manufacturing company, the budget is used to determine the budgets for manufacturing costs, including the direct materials budget, the direct labor budget, and the manufacturing overhead budget.

Answers

Answer:Production

Explanation:

Select the correct answer.
Mary is planning to buy a mobile phone that costs $500. She can choose any of five different payment plans with varying simple interest rates and periods:

plan 1: 6% for 10 months
plan 2: 8% for 12 months
plan 3: 10% for 14 months
plan 4: 12% for 18 months
plan 5: 14% for 12 months

Which plan offers the lowest monthly payments?

A.
plan 1
B.
plan 2
C.
plan 3
D.
plan 4
E.
plan 5

Answers

Answer:

plan 1

Explanation:

Mary is planning to buy it moule phone that costs $500. She can choose any of fun different payment plans with varying simple interest rates and periods. The plan that offers the lowest monthly payments is plan 1:6% for 10 months. The correct option is a.

What is a payment plan?

A payment plan can refer to paying off any outstanding debt, or sometimes more than one debt by means of consolidation into an organized payment schedule. Alternatively, different types of consumer financing involve a payment plan, such as car loans and point of sale retail loans.

Within a payment plan for financing, the consumer pays back a fixed amount of money every month until the balance is cleared. Credit cards require a more flexible payment plan, where there is a minimum required payment per month, and the borrower can decide how much to pay back and when.

Traditionally, a payment plan would have referred to a monthly amount being paid directly to the retailer as part of an installment schedule, in advance of receiving the merchandise.

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Describe factors that encourage conspicuous
consumption by the purchase of status sym-
bols.

Answers

Veblen's initial thesis said that better social standing and peer recognition were the two key factors influencing ostentatious consumption.

Conspicuous consumerism is the act of acquiring things or services specifically with the intention of flaunting one's affluence. When publicly exhibited products and services are too expensive for other people in a person's class, conspicuous spending is a way to demonstrate one's social position.

What is the conspicuous consumerism theory?

Conspicuous consumption is defined as. Displaying extravagant riches in order to improve one's standing and reputation in society is known as conspicuous spending.

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in the capm world, the following two stocks a and b are given: security expected rate of return beta a 0.12 1.3 b 0.14 1.8 if the expected market rate of return is 0.09 and the risk-free rate is 0.05, what is security a's alpha? round your answer to three decimal places.

Answers

Stock A is a better investment because its expected return is 2.2% higher than the CAPM's prediction.

The risk-free rate divided by beta times the market risk premium is the expected rate of return. It is given by given by the capital resource evaluating model. The expected market return less the risk-free rate is the market risk premium.

What do you mean when you say, "expect return"?

The amount of profit or loss an investor can anticipate from an investment is referred to as the expected return. After totaling these results, the probability of a given outcome being realized is multiplied by the potential return.

How is expected return calculated?

Since the investment market is extremely volatile, expected return is just one of many possible returns. It is equal to (Return A x probability A) + (Return B x probability B). Due to the fact that it takes into account the investment's previous performance, you can determine the expected return as a weighted average outcome.

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The AutoSum icon is located in
which of the following groups on the
Home tab? *

Answers

Answer:

The AutoSum option can be found in two areas: It is contained in the Editing group of the ribbon, as shown in the first example above. It can also be found under the Formulas tab.

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PLS NEED HELP IM BEHIND BAD
PLS NEED HELP IM BEHIND BAD
PLS NEED HELP IM BEHIND BAD

Answers

Answer:

The first answer

Explanation:

Just took it

Sean’s mother had to make an emergency purchase of a new tire because her tire went flat while she was traveling to the store. She is not sure how much money she has in her checking account. Which method of payment should she use to be financially responsible?
She should pay by telephone with her debit card.
She should pay with a debit card.
She should pay with a credit card.
She should pay with a check.

Answers

Answer:

c. She should pay with a credit card.

Explanation:

Credit cards are basically loans that the banks give to the customer to use and pay back before the due date.

Now if Sean's mother does not know how much money she has, she must use the credit card because to be financially responsible and pay the type services their due amount.

Later she can check her account details and make payments to the bank as per requirement.

Explanation:

The most financially responsible option for Sean's mother would be to pay with a debit card. The correct option is B.

Why debit card is better than cash?

You can carry out purchases using a debit card rather than scrambling for cash, looking through your pockets or handbag for exact change, writing a check, or visiting an ATM. It's also more convenient than ever thanks to the increase in companies accepting debit card payments.

This is because a debit card transaction deducts the payment directly from her checking account, so she can only spend the money she actually has available. This can help her avoid overspending or going into debt.

Paying by telephone is also a convenient option, but it is important for Sean's mother to make sure she is using a secure and trusted payment system to protect her personal and financial information.

Using a credit card or writing a check are also options, but they may not be as financially responsible in this situation. With a credit card, Sean's mother would be borrowing money and may incur interest charges if she doesn't pay the balance in full. Writing a check may take longer to process and may not be accepted by all tire shops.

Thus, the ideal selection is option B.

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Given the data below for a firm in its first year of operation, determine net income under the cash basis of accounting. cash received from customers $48,000 accounts receivable 12,000 cash paid for expenses 26,000 accounts payable (related to expenses) 3,000 prepaid rent for next period 7,000

Answers

Answer:

The answer is $22,000

Explanation:

Cash basis accounting is a method of recording accounting transactions/events for revenue only when cash is received from customers and expenses only when cash payments are done by the business entity to suppliers.

Net income = Cash received from customers $48,000 - cash paid for expenses 26,000

Net income = $22,000

How many feet are in 400 meters? (Full Sentence Response) Again... I know I asked this the last time, but you can handle it! *

Answers

The level of communication that occurs when people use telephone, reports and memos is referred to as
A. mediated communication
B. intra personal communication
C. inter personal communication
D. person to group communication ​

Answers

Answer:

A. Mediated communication

Explanation:

A. Mediated Communication is the type of communication that is facilitated by some kind of technology, be it social media, telephone, email, etc.

B. Intra-personal communication is the communication that takes place with yourself. It is when you reflect upon your work, life, and morals and get to know more about yourself.

C. Interpersonal communication is one that takes place between two people. It can further be of various types depending on whether it takes place within the company or outside it.

D. Person-to-group communication is when one person communicates to a group of people at one time. Some examples of the same can be seminars, webinars, or presentations.

you are a city engineer in charge of receiving bids on behalf of the city council. a contractor's bid arrives with two tickets to a professional football game. the bid is the lowest received. what should you do?

Answers

It is your obligation as a city engineer in charge of accepting bids on behalf of the city council to ensure that the bidding process is fair, transparent, and in accordance with all applicable laws and regulations.

b Receiving presents from a contractor who has filed a bid, such as tickets to a professional football game, might constitute a conflict of interest and jeopardize the bidding process's integrity. Furthermore, it may be deemed bribery, which is both unlawful and immoral. In this case, it is proper to reject the contractor's proposal and notify the appropriate authorities. The city council should also be notified, and a fresh bidding procedure should be launched to guarantee that a contractor is selected in a timely manner. in a fair and transparent manner. By following these measures, you may safeguard the interests of the city and its inhabitants while maintaining the integrity of the bidding process.

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Which is the best general statement about the role of government in business in the United States? O A. Government determines what goods and services are produced. B. Government acts to allow markets to function efficiently. C. Government owns the resources of production. D. Government has no role in business.​

Answers

The answer is B hope that helps

The gross domestic product (GDP) of a country was $112 billion in 2001. If the GDP grows at a constant rate of 4.3% per year, in what year will the GDP be greater than $200 billion

Answers

Answer:

The GDP will grow above or will be greater the $200 billion amount during the 14th year from 2001 which will be 2015.

Explanation:

To calculate the GDP in a particular year after 2001, we know the equation will be,

GDP = 112 * (1+0.043)^t

Where,

t is the time in years

If we want to calculate the year in which GDP will be greater than 200 billion, we need to substitute the GDP part in the equation with amount of say 200 billion.

200 = 112 * (1+0.043)^t

200 / 112 = (1.043)^t

1.785714286  =  (1.043)^t

Taking log on both sides and dividing the equation for t.

log(1.785714286) / log(1.043)  = t

t = 13.772 years rounded off to 14 years

So, the GDP will grow above or will be greater the $200 billion amount during the 14th year from 2001 which will be 2015.

true or false? higher opportunity costs equal a greater comparative advantage.

Answers

The statement "higher opportunity costs equal a greater comparative advantage." is a False statement

What are opportunity costs?

Generally, In the context of microeconomic theory, the opportunity cost of a certain action refers to the value or gain that is lost as a result of participating in that activity as opposed to participating in an alternative activity.

To put it another way, if you decide to participate in one activity rather than another, it indicates that you will not be able to take advantage of another chance.

In conclusion, It is not true that "more opportunity costs equal a bigger comparative advantage." This assertion has been shown to be false.

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Answer:

false

Explanation:

.A firm would be most likely to use backward invention in which of the following situations?
A. when it first markets a product internationally
B. when it has decided to rely on a straight extension strategy
C. when it needs to offer a less complex product in a foreign market than it sells elsewhere
D. when it relies on the practice of dumping
E. when it participates in a free trade zone

Answers

The term "backward invention" refers to the process of simplifying or adapting a product to make it more suitable for a foreign market.

Therefore, a firm would be most likely to use backward invention in situation C, when it needs to offer a less complex product in a foreign market than it sells elsewhere. This is because the firm needs to adjust its product to fit the specific needs or preferences of the foreign market, which may require simplification or adaptation.

In situations A and E, the firm is entering a new market, but it may not necessarily need to simplify or adapt its product. In situation B, the firm is using a straight extension strategy, which involves minimal changes to the product for international markets. In situation D, the firm is engaging in the illegal practice of dumping, which involves selling products in foreign markets at prices lower than the domestic market, and is not related to backward invention.

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Select the correct answer.
Which technique helps you become more resourceful?
A.
looking at current trends
B.
looking for perfect solutions
C.
thinking like a child
D.
thinking more logically

Answers

Answer:

Thinking more logically

Answer:

it isnt think logically

Explanation:

Consider that you work in the healthcare marketing department of a major healthcare organization. The organization's chief marketing officer has asked you to conduct market research on patient service satisfaction. You have been instructed to create and administer a patient satisfaction survey. With this in mind, consider the questions you might ask patients, how you will administer the survey, and the challenges during data collection. Part I: Design a 15-question patient satisfaction survey, questions should be closed-ended. Part II: Then, address the following: Why did you write the particular questions that you wrote? How do you plan to administer the survey?

Answers

Part I: Designing a 15-question patient satisfaction survey involves creating closed-ended questions to gather specific feedback.

Part II: The questions are designed to gain insights into specific areas of the patient experience and identify areas for improvement.

Part I: The patient satisfaction survey should cover key aspects of the patient experience. Sample questions may include rating the courtesy of staff, satisfaction with communication and information provided, perceptions of wait times, cleanliness of facilities, ease of scheduling appointments, and overall satisfaction with the quality of care received. These closed-ended questions allow for quantifiable responses and ease of data analysis.

Part II: The questions are formulated to target specific areas of interest and measure patient satisfaction. By gathering feedback on various aspects of the patient experience, the organization can identify strengths and weaknesses to guide improvement efforts. The survey can be administered through different methods, depending on the organization's resources and patient population. Online surveys can be sent via email or hosted on the organization's website. Mailed questionnaires can be sent to patients' homes, and in-person interviews can be conducted at the healthcare facility. Ensuring confidentiality and anonymity is crucial to encourage honest and unbiased responses.

Challenges during data collection may include low response rates, as patients may not always participate in surveys voluntarily. Efforts should be made to maximize response rates through reminders and incentives. Bias in responses can also be a concern, as patients with extremely positive or negative experiences may be more inclined to respond. To mitigate this, including a mix of positive and negative questions can help capture a balanced perspective. Ensuring the confidentiality and anonymity of respondents' data is essential to foster trust and encourage honest feedback.

Overall, designing a patient satisfaction survey with closed-ended questions allows for systematic data collection and analysis. Administering the survey through various methods and addressing challenges during data collection helps ensure the reliability and validity of the feedback obtained, enabling the organization to make informed decisions and improve patient service satisfaction.

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What are personal loans?

Answers

Answer:

personal loan is a specific amount of money you can borrow from the bank, with a fixed interest rate and you pay it back within a predetermined amount of time. 

QUESTION 9 With the invention of banking, one important aspect of money was that a. government lost all control over the money supply b. individuals have ne discretion over the money supply c.banks have some discretion over the money supply d. banks have full control over the money supply and the quantity RGP QUESTION 10 According to the interest rate effect, as the price level decreases, households and fire holding of money interest rates vesten a. Increases, increase increase, decreases b. Increases, decrease increase, decreases c. decreases, decrease increase increase d increases, increase, decrease, decreases QUESTION 11 At an equilibrium price: a there is no scarcity. b quantity demanded exceeds quantity supplied c. quantity demanded is less than quantity supplied d quantity demanded equals quantity supplied. QUESTION 12 The purchase of a new scanner by a computer graphics business is included in which expenditure category of GDP? a. Investment b government purchases c.net exports d.consumption.

Answers

Answer 9Banks have some discretion over the money supply. One important aspect of money that came into being with the invention of banking is that banks have some discretion over the money supply. The government, on the other hand, did not lose all control over the money supply.

The government continues to have some control over the money supply through its monetary policies, which are implemented through the central bank.Answer 10As the price level decreases, households' and firms' holding of money interest rates decrease. Interest rates on holding money would decrease if the price level decreases. This is due to the fact that a lower price level leads to a lower demand for money, which leads to a lower interest rate.Answer 11At an equilibrium price, quantity demanded equals quantity supplied. The equilibrium price is the price at which the quantity demanded equals the quantity supplied. In other words, it is the price at which the market is in equilibrium.Answer 12The purchase of a new scanner by a computer graphics business is included in the investment expenditure category of GDP. Investment, government purchases, net exports, and consumption are the four expenditure categories of GDP. The purchase of a new scanner by a computer graphics firm is classified as investment expenditure.

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Which of the following refers to how quickly you can convert an asset to cash without price concession or loss?
Liquidity.
Exchange rate.
Marketability.
Diversification.

Answers

The term that refers to how quickly an asset can be converted into cash without a price concession or loss is known as Liquidity. liquidity is an essential aspect of financial analysis and management, and it refers to how quickly an asset can be converted into cash without a price concession or loss

This concept is critical because it determines the ease with which a company can meet its financial obligations, such as paying its bills and debts, and the ability to invest in new ventures. Liquidity is also a significant measure for investors because it determines how fast they can buy or sell assets without losing money.

It is essential to evaluate the liquidity of an asset because it gives investors an idea of how easy it will be to buy or sell it on the market. An asset that is liquid means that it can easily be converted into cash without causing any significant changes in the market price.

The liquidity of an asset can be measured using various financial ratios such as current ratio, quick ratio, cash ratio, and operating cash flow ratio. These ratios help investors and analysts determine how quickly a company can meet its financial obligations and pay off its debts. The higher the liquidity ratio, the more likely it is that a company can pay its bills and debts on time.

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After a targeted segment of kids under twelve was chosen by a sugar cookie company, the company had to decide on its marketing mix to that segment. When deciding on a price strategy for its cookies, what questions should the company ask?.

Answers

When deciding on a price strategy for its cookies, the questions that should  be asked by the company ask is  How much is too expensive or too cheap .

What is pricing strategy?

A pricing strategy serves as the model that is been utilized by the company to establish the best price when trying to market their product or service.

That is why it is important for the company to ask  How much is too expensive or too cheap  because this will help them to be able to  choose prices so as to be able to maximize profits.

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What determines what goods and services are produced by a nation in the economy?
O The wants of other nations
O The wants of the citizens
None of the answers are correct

Answers

The factor that determines the goods and the services that are produced by a country is the wants of the citizens.

What is want in economics?

This is a term that has to do with the goods and services that are desired by the people of a nation.

The wants of the people are satisfied using the available resources that are in the economy.

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______is a firm’s engagement in social actions because of its obligation to meet certain economic and legal responsibilities.

Answers

Obligatory social actions undertaken by a firm to fulfill economic and legal responsibilities.

The term that describes a firm's engagement in social actions due to its obligation to meet certain economic and legal responsibilities is known as "corporate social responsibility" (CSR). CSR refers to a company's commitment to conducting its business in an ethical and responsible manner, considering the impact of its actions on various stakeholders, including employees, customers, communities, and the environment. It encompasses a range of activities, such as adhering to legal regulations, promoting fair business practices, protecting the environment, supporting community development, and ensuring the well-being of employees. By fulfilling economic and legal responsibilities through CSR initiatives, firms aim to maintain their social license to operate, build positive reputations, and contribute to sustainable development.

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What is the type of economy: traditional-free market - command or mixed. And what is the place in the business cycle: prosperity- recovery- recession or depression

What is the type of economy: traditional-free market - command or mixed. And what is the place in the

Answers

Answer:

The four stages of the economic cycle are also referred to as the business cycle. These four stages are expansion, peak, contraction, and trough. During the expansion phase, the economy experiences relatively rapid growth, interest rates tend to be low, production increases, and inflationary pressures build

Using productivity software ensures that the end product will look professional.

Answers

Answer: false

Explanation:

on edge 2021

Answer: The answer is false

Explanation:

props to the other dude, give them brainliest

Which macroeconomic goal do investments in human capital and capital goods contribute to? How?

A
Such investments contribute to the goal of price stability by increasing economic production.

B
Such investments contribute to the goal of economic growth by increasing government spending.

C
Such investments contribute to the goal of price stability by increasing consumer spending.

D
Such investments contribute to the goal of economic growth by increasing economic productivity.

Answers

I think it B I might be wrong but b is the only that make sense
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