Exhibit 25 -Refer to Exhibit 25

question 90

Multiple Choice

Exhibit 25.9
USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)
Consider the following information for four portfolios, the market and the risk free rate (RFR) : $$\begin{array} { l c l l } \text { Portfolio } & \text { Return } & \text { Beta } & { \text { SD } } \\\hline \text { A1 } & 0.15 & 1.25 & 0.182 \\\text { A2 } & 0.1 & 0.9 & 0.223 \\\text { A3 } & 0.12 & 1.1 & 0.138 \\\text { A4 } & 0.08 & 0.8 & 0.125 \\\text { Market } & 0.11 & 1 & 0.2 \\\text { RFR } & 0.03 & 0 & 0\end{array}$$
-Refer to Exhibit 25.9. Calculate the Jensen alpha Measure for each portfolio.

• A)A1 = 0.014, A2 = -0.002, A3 = 0.002, A4 = -0.02
• B)A1 = 0.002, A2 = -0.02, A3 = 0.002, A4 = -0.014
• C)A1 = 0.02, A2 = -0.002, A3 = 0.002, A4 = -0.014
• D)A1 = 0.02, A2 = -0.002, A3 = 0.02, A4 = -0.14
• E)None of the above

Comprehend the relationship between subsidiary ledgers and control accounts.

Learn the characteristics and benefits of an effective accounting information system.

Grasp the concept of flexibility and adaptability in accounting systems for various organizational needs.

Acknowledge the principles of cost effectiveness and its importance in the design and operation of accounting information systems.

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Definitions:

National Saving

The total amount of savings generated within a country, consisting of both private and public savings.

Domestic Investment

The total amount of money that is invested within a country's borders by its residents and businesses.

Net Exports

The difference between a country's total value of exports and its total value of imports, indicating whether a country is a net exporter or importer.

Net Capital Outflow

The difference marked by domestic people's foreign asset purchases compared to foreign people's domestic asset acquisitions.