Question
Question 13: In forecasting income statement, which of the following is NOT a step? Select one: A. Establish a sales projection. B. Determine the future
Question 13: In forecasting income statement, which of the following is NOT a step?
Select one:
A. Establish a sales projection.
B. Determine the future debt of the company.
C. Estimate profit by completing the actual pro forma statement.
D. Estimate production schedule and associated expenses to determine gross profit.
Question 14: The return on market portfolio is 12%, market risk premium is 8%, the risk-free rate is 4%, and the expected return under the CAPM is 14%. The beta of the company should be close to:
A. 1.5
B. 1.25
C. 1.0
D. 2.0
Please help with both questions. Correct Answers with explanations will thump up. Thank you so much !
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