You are trying to explain the number of IBM shares traded in the stock market per day in 2019. Your explanatory variable is the closing price of the share. You are likely to face... a. simultaneous causality. b. invalid inference due to a small sample size. c. invalid inference due to non-normal distribution of price d. a situation where homoskedasticity-only standard errors should be used since you only analyze one company.

Salt corporation's contribution margin ratio is 78% and its fixed monthly expenses are $30,000. assume that the company's sales for may are expected to be $89,000. required: estimate the company's net operating income for may, assuming that the fixed monthly expenses do not change.

Exercise 2-12 cost behavior; high-low method [lo2-3, lo2-4] speedy parcel service operates a fleet of delivery trucks in a large metropolitan area. a careful study by the company’s cost analyst has determined that if a truck is driven 120,000 miles during a year, the average operating cost is 11.6 cents per mile. if a truck is driven only 80,000 miles during a year, the average operating cost increases to 13.6 cents per mile. required: 1.& 2. using the high-low method, estimate the variable and fixed cost elements of the annual cost of truck operation. (round the "variable cost per mile" to 3 decimal places.)

How are credit unions similar to banks