Which one of the following is the best example of systematic risk A iPad and

Which one of the following is the best example of

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27.Which one of the following is the best example of systematic risk? A.iPad and Tablet sales increase due to increased demand for mobile internet. B.A flood washes away a firm’s warehouse.C.A city imposes quota on utilities usage. D.A drug manufacturer has to recall its top-selling drug due to contamination. E.Employment taxes are increased on a national level. 28.An investment promises a lump sum payment of $10,000 at the end of 5 years. The stated interest rate is 8 percent and the interest is compounded semi-annually. Which of the following statements is CORRECT? 29.Zile is the CEO of Sumit Inc. He has full control over the firm’s operating, investment and capital structure decisions. Which ratio would best reflect the consequence of these choices? 30.You found that the common stock of Tiffany (NYSE:TIF) has a beta of 1.77. You performed some analysis and expect that there will only be two potential scenarios: either the stock returns 30% if the US economy booms, otherwise the return will be -3% if the economy stagnates. Both scenarios have a 50% probability of occurrence and the stock is currently priced accordingly in the market. The risk-free rate is 2.12% and the market rate of return is 9.01%. Which one of the following statements is true given this information?
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  • Winter '14
  • following statements, Stock B

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