Which of the Following Would Be a Correct Way to Compute

question 65

Multiple Choice

Which of the following would be a correct way to compute the net pay for an employee?

• A)Hours Worked times Authorized Pay Rate
• B)Gross Pay minus Withholding Taxes
• C)Gross Pay minus Authorized Deductions
• D)Hours Worked times Withholding Tax Rate

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Definitions:

Market Proxy

A singular asset or portfolio that represents the characteristics of an entire market segment or the market as a whole.

CAPM

The Capital Asset Pricing Model, which describes the relationship between systematic risk and expected return for assets, particularly stocks, suggesting that investors need to be compensated in two ways: time value of money and risk.

Fama and French

Scholars who developed a three-factor model for explaining the risk and return of stocks and other investments.

Econometrics

The application of statistical and mathematical theories to economics for the purpose of testing hypotheses and forecasting future trends.