Yes, it is possible that the performance ranking of investment portfolios based on Sharpe ratios may differ from the performance ranking based on the M2 measure.
The Sharpe ratio and M2 measure are both risk-adjusted portfolio performance measures. They are both used to evaluate the performance of investment portfolios, but they differ in the way they consider risk. The Sharpe ratio measures the excess return of an investment portfolio over the risk-free rate of return, relative to its standard deviation of returns. This ratio is used to evaluate how well an investment portfolio has performed relative to its risk. The M2 measure is also a risk-adjusted performance measure, but it considers downside risk.
It measures the excess return of an investment portfolio relative to a benchmark, adjusted for downside risk. The M2 measure considers the downside risk by using the semi-deviation of returns, which only considers the negative returns. Therefore, portfolios with lower downside risk will have higher M2 measures. When evaluating the performance of investment portfolios, it is important to consider both measures. The Sharpe ratio is a useful measure for evaluating risk-adjusted returns, but it does not consider the downside risk.
The M2 measure considers downside risk, which can be important in evaluating the performance of portfolios. Therefore, the performance ranking of investment portfolios based on Sharpe ratios may differ from the performance ranking based on the M2 measure. Depending on the investment objectives and risk tolerance of investors, one measure may be more appropriate than the other.
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What are some examples of companies providing consumers with goods?
Answer:
is this a multiple choice question?
Explanation:
The adjusting entry to record the estimated amount of bad credit sales is a debit to bad debt expense and a credit to.
Answer: A debit to Answer: Bad Debt Expense and a credit to Allowance for Doubtful Accounts would generally be included in the adjusting entry to reflect the expected bad debts in the period credit sales occur.
The adjusting entry would typically include a charge for bad debt expenses as well as a credit to the allowance for doubtful accounts to represent the anticipated bad debts during the time when credit sales take place.
What is Sales?A sale is an agreement between a buyer and a seller in which the seller exchanges money for the sale of tangible or intangible products, assets, or services. There are two or more parties involved in a sale. A sale, or a contract between two or more parties, such as the buyer and seller, can be thought of in larger terms.
The debit to Bad Debt Expense and the credit to Allowance for Doubtful Accounts would typically be included in the adjusting entry to reflect the expected bad debts at the time credit sales occur.
By debiting the accounts receivable account and crediting the bad debt expense account, respectively, For instance, if customer Lucy has a $125 invoice that is 91 days overdue, your bad debt expense journal entry would seem as follows: $125 is debited for bad debt expenses. The credit for Receivables is $125.
Therefore, The provision for dubious accounts, which, throughout the period of credit sales, represents the anticipated bad debts.
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marcia purchased 100 shares of hyde foods stock on margin at a price of $35 a share. the initial margin requirement is 65% and the maintenance margin is 35%. what is the lowest the stock price can go before marcia receives a margin call?
Marcia will receive a margin call $20.88 per share when the stock price of Hyde Foods falls
The total cost of purchasing 100 shares of Hyde Foods stock at $35 per share is:
100 x $35 = $3,500
Since the initial margin requirement is 65%, Marcia only needs to put up 65% of the purchase price, or:
$3,500 x 0.65 = $2,275
This means that the remaining 35% is borrowed from the broker, or:
$3,500 - $2,275 = $1,225
To calculate the lowest stock price before receiving a margin call, we need to use the maintenance margin. The maintenance margin is the minimum amount of equity that must be maintained in a margin account, expressed as a percentage of the total market value of the securities held in the account. If the equity in the account falls below this level, the broker will issue a margin call.
Since the maintenance margin is 35%, the equity in the account must be at least 35% of the total market value of the securities held in the account. At a stock price of $35 per share, the market value of the 100 shares is:
100 x $35 = $3,500
The equity in the account is therefore:
$3,500 - $1,225 = $2,275
To find the lowest stock price before receiving a margin call, we can set up the following equation:
$2,275 / $3,500 = 0.65 - (X / $35)
Where X is the new stock price before a margin call is issued. Solving for X, we get:
X = $20.88
Therefore, the lowest the stock price can go before Marcia receives a margin call is $20.88 per share.
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One of the objectives of management at the lmx corporation is for the diversity program that it created to ensure fair treatment of all employees in the workplace regardless of their backgrounds. To do this, which method would be most appropriate? onboarding top management support alternative dispute resolution mentoring recruitment and hiring
As one of the objectives of management is for the diversity program that it created to ensure fair treatment of all employees in the workplace regardless of their backgrounds. To do this, the method that would be most appropriate is through Onboarding. The Option A is correct.
What is an employee onboarding?In management, an onboarding refers to the processes in which new hires (employees) are integrated into the organization. This process includes an activities that allow new employees to complete an initial new-hire orientation process, as well as learn about the organization and its structure, culture, vision, mission and values.
For some companies, the onboarding process consists of one days of activities; for other companies, this process may involve a series of activities spanning for months.
An onboarding is often confused with orientation, but while an orientation is necessary for completing paperwork and other routine tasks, an onboarding is a comprehensive process involving management and other employees and can last up to 12 months.
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Which is NOT one of the interrelated elements of crafting a business model?
- Defining a unique strategy
- Identifying the resources and capabilities required to execute
- Identifying the compelling benefits for key stakeholders
- Attracting a high-quality team
Attracting a high-quality team is not typically considered one of the interrelated elements of crafting a business model, although having a good team is certainly important for executing the business model successfully. The correct answer is option d.
The three main interrelated elements of crafting a business model are usually considered to be:
Defining a unique strategy: This involves identifying a distinctive value proposition, which outlines the unique benefits that the business will provide to customers.Identifying the resources and capabilities required to execute: This involves identifying the key resources and capabilities that the business will need to successfully deliver its value proposition and achieve its strategic objectives.Identifying the compelling benefits for key stakeholders: This involves identifying the benefits that the business will provide to its various stakeholders, including customers, investors, and employees. These benefits may include financial returns, social or environmental impact, or other non-financial benefits.By considering these interrelated elements and their relationships to each other, a business can craft a well-rounded and effective business model that is aligned with its overall strategic objectives.
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Determining the payment options to be offered to a business's customers is which function?
Answer:
Pricing
Explanation:
Tommy is the ceo of a private start-up firm that is valued at just over $1. 2 billion dollars. His firm can be classified as being a?
Tommy, as the CEO of a private start-up firm that is valued at just over $1.2 billion, can classify his firm as a unicorn. A unicorn refers to a privately held start-up company that has reached a valuation of over $1 billion. This term became popular in the venture capital industry to represent the rarity and success of such companies.
These firms often operate in the technology sector, but can also be found in other industries. Being classified as a unicorn is significant because it indicates that the start-up has achieved a high level of growth and potential. It is a testament to the firm's ability to disrupt industries and generate substantial value. Unicorn companies are typically highly sought after by investors due to their potential for significant returns on investment.
In summary, Tommy's firm can be classified as a unicorn, which is a privately held start-up company valued at over $1 billion. This classification signifies the firm's exceptional growth and potential.
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A computer chip sold to Dell is an example of:
A. a final good.
B. an intermediate good.
C. a service.
D. an inferior good.
An illustration of an intermediate good is a computer chip that was sold to Dell.
What does the word "intermediary goods" mean?Those products that businesses utilize to produce goods or services were referred to as intermediate goods. As producer products, these items are also known. Thus, the production of final or consumer goods requires the utilization of intermediate goods.
What are intermediate products as opposed to final goods?Final goods are products that don't require any more processing. Consumer goods are another name for these goods, which are produced with the aim of being directly consumed by the end user. Intermediary goods are any products that companies use to create completed goods or services.
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XYZ is an established business and has written a business plan in order to request additional funding from a local bank. Unlike a plan for a new business, their business plan will include which information?
Answer:
Growth Highlights
Explanation:
When a new business is to start up, and it requires funding it shall propose the business idea to investors, but it depends upon the discretion of investors whether or not to invest, and their results are dependent upon the expectations of the business idea.
Whereas when a established business requires further funds, it can state the statistical records and performance reports which shall highlight the growth achieved by the business already.
This shall ensure the investors about their returns in a more confident manner.
Funding from local bank shall include the growth results achieved till now, in order to create the investor confidence.
Companies often pay to make their products visible in popular movies- such as when admired actors drink certain beverages. Based on classical conditioning principles, what might be an effect of this pairing?.
Companies frequently pay to Celebrity endorsement, additionally called celeb branding and marketing is a advertising strategy that makes use of a celeb's repute and photo to sell a logo or product. This pairing enables a celeb to symbolize you enables to distinguish your logo from competitors.
It can also enhance advert recall, making customers bear in mind your advert and that your logo is attached to their favored celeb. If viewing an trendy actor (a US) elicits a fantastic response (a UR), then pairing the US with a brand new NS (the beverage) may want to flip the beverage right into a conditioned stimulus (CS) that still turns into fantastic, a conditioned response (CR). Other use instances encompass not-for-profit agencies that leverage a celeb's repute to elevate attention or funding round a reasons. Using a celeb to symbolize you enables to distinguish your logo from competitors.
It can also enhance advert recall, making customers bear in mind your advert and that your logo is attached to their preferred celeb. When you sign up a celeb to propose your logo, you sign up to the whole thing that incorporates them. The blessings of the use of a celeb for marketing and marketing are the cap potential to: Build logo equity, which means logo energy is obtained thru the call recognition, which lets in the enterprise to gain large income and profits. Increase the consumer's remembrance of the advert. Link the product to the celeb's skills. The maximum extreme conflicts arise while hazardous or useless services and products are promoted by celebrities. Celebrities can push customers to buy matters on the way to not paintings or can reason harm. It is specifically unethical while a celeb endorsement is used to override professional opinion.
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Write the steps in registering your business. Record them in the correct order. Do this in your answer sheet. (LOOK AT THE PICTURE)
289292928183281882822
Brittany is a high school junior who worries about her money habits. Her parents have always worked hard, but they’ve never had enough money to buy her trendy clothes. Brittany recently landed a job at a clothing store in the mall. Now that she has her own money, all she wants to do is buy clothes. It’s hard to resist spending her entire paycheck on all the latest styles she sees coming into the store. She’s even begun setting aside the clothes she wants to buy prior to getting paid—in a sense, spending her paycheck before she even gets it. Brittany feels guilty about spending all of her money, but she definitely seems to be more comfortable with spending than saving. What advice would you give her to change her spending behavior?
Answer:
I think Brittany should use half of her check on clothez.and save the rest of her money up for a bigger and better purchase!
is a measurement of standard of living that includes education and
clean running water.
A. Financial wealth
B. Access to necessities
C. Income
D. Material wealth
IVY has preferred stock selling for 105 percent of par that pays a 6 percent annual coupon. What would be IVY's component cost of preferred stock? Select one: a. 6.30 percent b. 5.71 percent c. 1.11 percent d. 99.00 percent
The formula to calculate the component cost of preferred stock is as follows:Component cost of preferred stock = Preferred dividends / Net proceeds from sale of preferred stock × 100
Given that,IVY's preferred stock is selling for 105 percent of par that pays a 6 percent annual coupon.This means the annual dividend paid per share is 6% × $100 = $6Also, the amount raised by selling one preferred share is 105% × $100 = $105Therefore, the net proceeds from the sale of one share of preferred stock will be $105. Now we can calculate the component cost of IVY's preferred stock using the formula as follows:Component cost of preferred stock = $6 / $105 × 100Component cost of preferred stock = 5.71%Therefore, the correct answer is option b) 5.71 percent.
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krysta wants to take piano lessons. she asked a teacher how many new pieces she could expect to learn each month. the teacher gave an estimate of 3. write an equation that shows how the total number of pieces krysta would learn, y, depends on the number of months of piano lessons, x.
The required equation is y = 3x which represents the total number of pieces Krysta would learn, where x months of piano lessons.
What is the Linear equation?A linear equation is defined as an equation in which the highest power of the variable is always one.
Krysta wants to learn to play the piano. She inquired with an instructor about the number of new pieces she could anticipate studying each month. The teacher estimated three.
Let y represent the total number of pieces Krysta would learn,
And x represent depends on the number of months of piano lessons,
According to the given situation, we can write the equation would be as:
⇒ y = 3x
Therefore, the required equation is y = 3x which represents the total number of pieces Krysta would learn.
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A grocery store orders their monthly food order from a distributor. The food is scheduled to be delivered by the next Friday. Which pathways in the Transportation and Logistic career cluster are involved in this entire process? Facility and Mobile Equipment Maintenance, Sales and Service; Transportation Operations; and Health, Safety and Environmental Management Transportation Systems/Infrastructure Planning, Management, and Regulation, and Facility and Mobile Equipment Maintenance Transportation Operations, Warehousing and Distribution Center Operations; Logistics Planning and Management Services; and Sales and Service Health, Safety and Environmental Management and Transportation Systems/Infrastructure Planning, Management, and Regulation
Answer:
For the food to be delivered successfully by the grocery store, the following pathways needs to be followed to achieve that:
Facility and Mobile Equipment Maintenance,
Sales and Service;
Transportation Operations; and Health,
Safety and Environmental Management Transportation.
Explanation:
This process is true because, there is need to ensure that, the facility and mobile equipment is well maintained to avoid breakdown of the equipment during transportation.
The last pathway to ensure successful delivery happens to be safety and environment management transportation since what is being dealt with happens to be food that is going to be eaten. Maximum care is taken to ensure there is no contamination whatsoever.
Answer:
Option A is correct
Explanation:
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It allows you to rent a car while yours is being repaired. a. auto replacement c. personal damage liability b. comprehensive physical damage d. rental reimbursement
Answer:
I'm pretty sure the answer is d
Explanation:
Alternatively, you may pay out-of-pocket for your rental then seek reimbursement from the other insurance company once it completes its investigation.
Answer:
D
Explanation:
When riding his bicycle, Jeremy always consumes bottles of water and granola bars in fixed proportions. His utility function is
=min{,12}u=min{W,12G}, where W is the number of bottles of water and G is the number of granola bars
Economics mimics worth or value using the concept of utility. Its application has drastically changed over time. Moral philosophers like Jeremy Bentham and John Stuart Mill were among the first to use the phrase to describe pleasure or happiness as a part of the utilitarianism hypothesis. The phrase has been modified and used to refer to a utility function that represents a single consumer's preference ordering over an option set but is not comparable across individuals within neoclassical economics, which governs contemporary economic theory. Although this definition of utility is more stringent than the original, moral judgments find it less useful (and disputed) because it is subjective and depends more on choice than on pleasure. Think about a few different options.
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Identify the stage of the new product development based on the given scenario
Answer:
Product Development Stage
Explanation:
Killian's board game is in the Product Development Stage.
This stage is the first part of the Product Life Cycle. In this stage, research on the target market and product positioning are carried out. It is at this stage that market research, distribution channels and competitor analysis are carried out and thoroughly outlined. Also, product validation is carried out. This involves getting feedback from test users concerning the use of the product.
So, this stage is Product Development Stage.
Suppose you own a bond issued by the U.S. that has a Modified duration of 16 years. Interest rates are currently 1.5% but you believe the Fed is about to decrease interest rates by 50 basis points (1 basis point = 0.0001) in order to stimulate the economy further. Your predicted percentage price change on this U.S. bond is_______ Question options: A) -8.00% B) -5.62% C) 5.62% D) 8.00%
The predicted percentage price change on this U.S. bond is -5.62%.. The correct answer is B)
Modified duration is a measure of a bond's sensitivity to changes in interest rates. It indicates the percentage change in bond prices for a 1% change in interest rates. In this case, the modified duration is 16 years, meaning that a 1% decrease in interest rates will result in a 16% increase in bond prices.
Since the interest rates are currently at 1.5%, a decrease of 50 basis points (0.5%) would result in an interest rate of 1.0%. Thus, the predicted price change can be calculated by multiplying the modified duration by the percentage change in interest rates.
Predicted percentage price change = Modified duration × (percentage change in interest rates)
= 16 years × (-0.5%)
= -8%
However, the question asks for the percentage price change, not the absolute value. Therefore, the answer is B) -5.62%, which is the absolute value of -8% divided by 1.16 (to account for the increase in bond prices due to the modified duration).
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how does the impact of fixed costs change production decisions in the short run and in the long run? refer to the average total-cost (atc) model included in the textbook to demonstrate.
In the short run, the impact of fixed costs on production decisions is significant because they are assumed to remain constant and thus, form a major component of total costs. In the long run, however, the impact of fixed costs becomes less important because they can be altered and can be spread over larger levels of output.
Fixed costs are expenses that do not vary with changes in the level of production output, such as rent, salaries, and insurance. In the short run, a firm cannot change its fixed costs as easily as its variable costs. Therefore, fixed costs have a significant impact on production decisions in the short run.
In the short run, the impact of fixed costs on production decisions can be seen using the Average Total Cost (ATC) model. The ATC is the total cost per unit of output, and it is calculated by dividing total cost by the quantity of output. The ATC includes both fixed and variable costs.
In the short run, a firm's production decision is influenced by its ability to cover its variable costs and make some contribution towards its fixed costs. As production increases, the firm's fixed costs are spread over a larger number of units, leading to a decrease in the ATC. However, when production decreases, the firm's fixed costs are spread over fewer units, leading to an increase in the ATC.
For example, if a firm's fixed costs are $10,000 per month, and it produces 1,000 units per month, the fixed cost per unit is $10. If the firm increases production to 2,000 units per month, the fixed cost per unit decreases to $5. Conversely, if the firm reduces production to 500 units per month, the fixed cost per unit increases to $20.
In the long run, firms have more flexibility to adjust their fixed costs, such as by relocating to a smaller or larger facility. This means that the impact of fixed costs on production decisions is less significant in the long run. In the long run, firms can choose to expand or contract production based on market demand, taking into account both fixed and variable costs.
In conclusion, fixed costs have a significant impact on production decisions in the short run, as they cannot be easily adjusted. However, in the long run, firms have more flexibility to adjust their fixed costs, and the impact of fixed costs on production decisions is less significant. The ATC model demonstrates the relationship between production and fixed costs in the short run.
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Question 5
If you are using data-driven decision-making, what action steps would you take? Select all that apply.
If you are using data-driven decision-making, the action steps you would take include collecting and analyzing data to identify trends and patterns. Here option A, B, C, and D are the correct answer.
Using data to inform and guide decision-making (option b), continuously monitoring and evaluating the effectiveness of decisions (option c), and making adjustments to decisions based on data analysis (option d). Options e, ignoring data and making decisions based on intuition, is not a step in data-driven decision-making.
Data-driven decision-making involves using data to make informed decisions. By collecting and analyzing data, you can identify trends and patterns that can help guide your decision-making. Continuously monitoring and evaluating the effectiveness of your decisions allows you to make adjustments based on data analysis. This approach helps ensure that your decisions are based on evidence rather than intuition.
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Complete question:
If you are using data-driven decision-making, what action steps would you take? Select all that apply.
a. Collect and analyze data to identify trends and patterns.
b. Use data to inform and guide decision-making.
c. Continuously monitor and evaluate the effectiveness of decisions. d. Make adjustments to decisions based on data analysis.
e. Ignore data and make decisions based on intuition.
Three roads lead into a stadium's parking areas. Each road has four lanes (two in each direction) with a capacity of 1,000 vehicles/lane/hour. If 10,000 vehicles are expected for a game, how long will it take for all of them to enter the parking areas?
Answer:
Option A
Explanation:
The complete question is
Three roads lead into a stadium's parking areas. Each road has four lanes (two in each direction) with a capacity of 1,000 vehicles/lane/hour. If 10,000 vehicles are expected for a game, how long will it take for all of them to enter the parking areas?
a) 2 hours
b) 1 hour
c) 1 hour and 40 minutes
d) 90 minutes
Solution
There are four lanes.
Capacity of one lane is equal to 1,000 vehicles/lane/hour.
Let us say that each lane will provide access to equal number of vehicles
Thus, each lane will allow 10,000/4 = 2500 vehicles per hour
Time taken by 2500 vehicles on road to reach parking is equal to 2.5 hours.
The nearest answer to this option A i.e two hours
If a 10% increase in price leads to a 40% decrease in quantity demanded, what is the value of price elasticity of demand? Show your work.
The value of price elasticity of demand is -4, which means that the demand for the product is highly elastic.
Price Elasticity of Demand = (% Change in Quantity Demanded) / (% Change in Price)
Using the information provided, we can calculate the percentage change in quantity demanded:
40% decrease in quantity demanded = (New Quantity Demanded - Old Quantity Demanded) / Old Quantity Demanded
-40 = (New Quantity Demanded - Old Quantity Demanded) / Old Quantity Demanded
Solving for New Quantity Demanded:
New Quantity Demanded = Old Quantity Demanded * (1 - 40%)
New Quantity Demanded = Old Quantity Demanded * 0.6
Now, we can calculate the percentage change in price:
10% increase in price = (New Price - Old Price) / Old Price
0.1 = (New Price - Old Price) / Old Price
Solving for New Price:
New Price = Old Price * (1 + 0.1)
New Price = Old Price * 1.1
Price Elasticity of Demand = (% Change in Quantity Demanded) / (% Change in Price)
Price Elasticity of Demand = (-40%) / (10%)
Price Elasticity of Demand = -4
The value of price elasticity of demand is -4, which means that the demand for the product is highly elastic. A small change in price results in a significant change in quantity demanded. In this case, a 10% increase in price leads to a 40% decrease in quantity demanded, indicating that consumers are very sensitive to changes in price.
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The name of Internet Web sites are referred to as their _____ name.
its domain
Answer:
Domain names . good luck ;)
Matcha green tea is primarily cultivated by Japanese farmers. Suppose that Matcha green tea grows in popularity as its health benefits, namely its lower caffeine content, become known, and at the same time the government reduces taxes imposed on Japanese tea farmers. What is the likely effect on the equilibrium price and quantity in the Japanese Matcha tea market
Answer:
equilibrium quantity would increase
there would be an indeterminate effect on equilibrium price
Explanation:
Due to the increase in popularity of the tea, the demand for the tea would rise. This would lead to a rightward shift of the demand curve. Equilibrium price and quantity would rise.
If taxes are reduced, the cost of producing tea would reduce. This would encourage producers to start making tea. As a result, the supply of tea would increase. This would lead to a rightward shift of the supply curve for tea. As a result, equilibrium price would fall and equilibrium quantity would increase.
Taking these two effects together, there would be an increase in equilibrium quantity and there would be an indeterminate effect on equilibrium price
when does the x-inactivation process happen in development
The X-inactivation process occurs during early development in female mammals.
X-inactivation is the process of inactivating one of the two X chromosomes present in the somatic cells of female mammals to compensate for the difference in the number of X chromosomes between males and females.
This process occurs early in development, specifically in the blastocyst stage of embryonic development.
1. The process of X-inactivation occurs during early embryonic development when the blastocyst forms.
2. The blastocyst stage is a developmental stage where the embryo is a ball of cells. This stage typically occurs about five days after fertilization.
3. At this stage, the cells are pluripotent, meaning they can develop into any type of cell in the body.
4. During X-inactivation, one of the two X chromosomes present in female cells is randomly inactivated. This process results in the silencing of the majority of genes present on the inactive X chromosome.
5. Once X-inactivation occurs, all the daughter cells produced from the cell with the inactivated X chromosome will have the same inactivated X chromosome.
6. This process ensures that both males and females have an equal number of active X chromosomes in their cells.
In conclusion, X-inactivation occurs during early development in female mammals. This process is crucial for ensuring that males and females have the same number of active X chromosomes.
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what is a customer retention?
Answer:
Customer retention refers to a company's ability to turn customers into repeat buyers and prevent them from switching to a competitor. As a performance metric, it indicates whether your product and the quality of your service please your existing customers.
Explanation:
can i have brainliest
What should you not do during a hostage rescue attempt?
Answer:
1) Remain still and low to the ground. 2) Encourage others around you to remain calm.
I D K
Explanation:
Avoid attempting to negotiate or offer advice. Hostage takers occasionally force hostages to make requests. If this occurs, say what they want you to say, avoid making your hostage captors angry, and avoid attempting to play the hero.
What do you mean by Hostage?A person who has been forcibly and illegally taken prisoner is known as a hostage. The hostage-takers seek to make claims against other parties, which is why they are keeping, and occasionally even threatening, the captive. It is against the law to take hostages.
Hostage killing was listed as a war crime in the International Military Tribunal Statute on August 8, 1945.
The execution of hostages by German troops in the occupied territories was categorized as clearly excessive due to their excessive tendencies war crimes an in the trial against the generals in south-eastern Europe.
The court described the shooting of hostages as barbaric but legal reprisals under international law. The Geneva Convention for the Protection of Civilian Persons in Time of War of 1949.
People have historically been held as hostages and forced to live there by the opposing party to enforce a contract.
They were frequently the sons of honorable tributary state representatives, who were frequently treated with respect and raised in the host nation. Attila and Theodoric the Great are two prominent examples.
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when journaling a correcting entry, what do you debit in the transaction that incorrectly debited electric expense instead of utilities expense? question 17 options: utilities expense miscellaneous expense electric expense cash
When journaling a correcting entry to correct an incorrect transaction that debited electric expenses instead of utility expenses, you would debit Utility Expenses and credit Electric Expenses. Here option A and C are the correct answer.
The purpose of the correcting entry is to make an adjustment to the original transaction so that it accurately reflects the correct account. In this case, the original transaction incorrectly debited Electric Expense, which is not the correct account. To correct the mistake, you would debit Utilities Expense, which is the correct account, and credit Electric Expense to reverse the original entry.
The debit to Utilities Expense (A) will increase the amount in that account, which reflects the actual cost incurred for the utility services. The credit to Electric Expense (C) will decrease the amount in that account, which corrects the error that was made in the original transaction.
Complete question:
when journaling a correcting entry, what do you debit in the transaction that incorrectly debited electric expense instead of utilities expense?
A - utilities expense
B - miscellaneous expense
C - electric expense
D - cash
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