Hello Expert,

I request you to please help me with below questions, Its for quiz kidnly help.We are okay if you dont give explinatioan as it is MCQ.

Thank you in advance.

1.The Capital Assets Pricing Model (CAPM) is used to:

A. Determine the cash flow expected for a security or portfolio over a specified period of time.

B. Determine the fair value of assets acquired through capital expenditures.

C. Determine the expected return of a security or a portfolio taking into account the assets systematic risk.

D. Determine the general market value of a security or portfolio regardless of risk.

2.Using the CAPM theory, if the Volatility of a stock is twice as great as the market, the market return on stocks in general (using the S&P 500 as a proxy) is 12%, and treasury bills are yielding 4%, what is the return that investors in that security can expect?

8%

10%

20%

24%

3.Working Capital is:

A. The amount by which cash exceeds current liabilities.

B. The total value of current assets and current liabilities.

C. The amount by which current assets exceed current liabilities.

D. The difference between total assets and Shareholder's Equity

4.On December 31, 2018, the Balance Sheet of Company a showed Retained Earnings of $900,000. On December 31, 2019, the Balance Sheet of Company A showed Retained Earnings of $700,000. Company A reported net income of $200,000 for the year ending December 31, 2018. How much did company A pay out in dividends to its shareholders.

A. $ 200,000

B. $ 700,000

C. $ 400,000

D. $ 900,000

5.Hedging is used to:

A.Minimize tax obligations.

B. Minimize losses due to price or rate changes.

C. Eliminate Price or Rate changes during the hedging period.

D. Allow the buyer to negotiate the best possible terms for a contract.

6.Which of the following is not reported on the asset side of the balance sheet:

A. Allowance for doubtful accounts

B. Additional Paid In Capital

C. Goodwill

D. Accumulated Depreciation