a) Return calculations For each of the investments shown in the  table(Attached), calculate the rate of return earned over the unspecified time period. b) ETHICS PROBLEM Risk is a major concern of almost all investors. When shareholders invest their money in a firm, they expect managers to take risks with those funds. What do you think are the ethical limits that managers should observe when taking risks with other people’s money?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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a)

Return calculations For each of the investments shown in the  table(Attached), calculate the rate of return earned over the unspecified time period.

b)

ETHICS PROBLEM Risk is a major concern of almost all investors. When shareholders invest their money in a firm, they expect managers to take risks with those funds. What do you think are the ethical limits that managers should observe when taking risks with other people’s money?

Cash flow
Beginning-of-
period value period value
$ 23,400
End-of-
Investment
during period
A
$-2,800
S 20,100
B
16,000
225,000
324,000
6,500
36,600
62,700
C
700
8,000
D
3,580
46,500
E
-500
52,800
Transcribed Image Text:Cash flow Beginning-of- period value period value $ 23,400 End-of- Investment during period A $-2,800 S 20,100 B 16,000 225,000 324,000 6,500 36,600 62,700 C 700 8,000 D 3,580 46,500 E -500 52,800
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