The correlation between assets in a two asset portfolio increases during a market decline. If there is no change in the proportion of each asset held in the portfolio or in the standard deviation of each individual assets, what would happen to the volatility of the portfolio?
A. The volatility of the portfolio would most likely increase.
B. The volatility of the portfolio would most likely decrease.
C. The volatility of the portfolio would most likely remain the same.
D. The volatility of the portfolio would become zero.
E. We need to have information about the two assets' expected returns in order to answer this question.

When consumers discard their gasoline-powered automobiles for electric-powered ones, this partially reflects the of gasoline?

Amanda works as an industrial designer

Bridgeport company began operations at the beginning of 2018. the following information pertains to this company. 1. pretax financial income for 2018 is $115,000. 2. the tax rate enacted for 2018 and future years is 40%. 3. differences between the 2018 income statement and tax return are listed below: (a) warranty expense accrued for financial reporting purposes amounts to $7,500. warranty deductions per the tax return amount to $2,200. (b) gross profit on construction contracts using the percentage-of-completion method per books amounts to $94,700. gross profit on construction contracts for tax purposes amounts to $67,100. (c) depreciation of property, plant, and equipment for financial reporting purposes amounts to $61,800. depreciation of these assets amounts to $75,700 for the tax return. (d) a $3,600 fine paid for violation of pollution laws was deducted in computing pretax financial income. (e) interest revenue recognized on an investment in tax-exempt municipal bonds amounts to $1,500. 4. taxable income is expected for the next few years. (assume (a) is short-term in nature; assume (b) and (c) are long-term in nature.) (a) prepare the reconciliation schedule for 2017 and future years. (b) prepare the journal entry to record income tax expense for 2017. (c) prepare the income tax expense section of the income statement beginning with “income before income taxes.” (d) determine how the deferred taxes will appear on the balance sheet at the end of 2017.