Is volatility a reasonable measure of risk when evaluating the investment in a single stock?
What will be an ideal response?
Answer: No. In the case of an investment in a single stock, the volatility does not explain the size of its average return, because the stock has its own unique risk that can be diversified away.
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Isis used a municipal parking lot to park her car in an American city. She used an electronic lock to lock her car and kept the keys in her wallet. On returning, she noticed the word "angels" scratched on her car door. Isis spent $200 in repairing the damage. Isis's boyfriend suggested that she sue the city because it was the city's responsibility to prevent vandalism. In this situation, ________.
A. a bailment was created solely for Isis's benefit and, therefore, the city only owed minimal care in protecting Isis's car B. a bailment was not created and, therefore, it was not the city's duty to protect Isis's automobile C. a bailment was created solely for the benefit of the city and, therefore, the city should have exercised ordinary care in preventing vandalism of Isis's car D. a bailment was created for the mutual benefit of Isis and the city and, therefore, both parties were responsible for protecting the car from vandalism
A business using cash to expand by purchasing land and a building is an example of an operating activity
Indicate whether the statement is true or false
In accounting for inventory, the assumed cost flow need not match the physical goods flow
Indicate whether the statement is true or false
Finsol International is a successful construction firm that has been receiving projects for interior designing as well. The vice president of the company assigns Rohit, a senior architect, the task of comparing the costs and benefits of taking on the interior designing projects with outsourcing the projects to a local firm. Based on the comparison, Rohit needs to create a report stating which of
the two approaches will be most appropriate. In this scenario, which of the following kinds of report will Rohit most likely be submitting? A) ?A letter report B) ?A memo report C) ?A form report D) ?A justification report