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fgiga [73]
2 years ago
5

A portfolio has 40% of its value in IBM shares and the rest in Microsoft (MSFT). The volatility of IBM and MSFT are 35% and 30%,

respectively. and the correlation between IBM and MSFT is 0.4. What is the standard deviation of the portfolio? A. 29.55% B. 22.83% C. 30.89% D. 26.86%

Business
1 answer:
Bess [88]2 years ago
3 0

Answer:

Our answer is D 26.86%

Explanation:

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Alfarsi Industries uses the net present value method to make investment decisions and requires a 15% annual return on all invest
Rzqust [24]

Answer:

E. $7,190

Explanation:

Net present value is the present value of after tax cash flows from an investment less the amount invested.

NPV can be calculated using a financial calculator

For project A,

Cash flow in year 0 = $-14,500

Cash flow in year 1 = $9,500

Cash flow in year 2 = $9,500

Cash flow in year 3 = $9,500

I = 15%

NPV = $7190.64

To find the NPV using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

I hope my answer helps you

3 0
2 years ago
Consumers know that some fraction of all new cars produced and sold in the market are defective. The defective ones cannot be id
yKpoI14uk [10]

Answer:

The answer is "0.25".

Explanation:

As buyers rate non-default cars at $10,000, we assume that almost all faulty cars are used. The reason would be that the automobiles have been priced at 2000$, which is well below a good 10000 dealer invoice, implying that only faulty products are available as old cars.

Some used cars sell at $2000, however, in the eyes of a buyer means a faulty vehicle.

Its price that even a threat customer is ready to pay was its price of a non-default product for a new car. It implies $8000 for a good car* chances that even a bad car will get a good car*chance*chances that even a bad car will get a bad one. Because people are aware which x part of all market vehicles is faulty, which means the fraction of good cars is 1-x. Enter beliefs, we get.

\to x\times 2000+(1-x)\times10000=8000\\\\ \to10000-8000x=80000\\\\\to 8000x=2000\\\\\to x=\frac{2}{8}\\\\ \to x=.25

3 0
1 year ago
Give an example of a voucher​?
MrMuchimi

Answer:

The answer would be,

Explanation:

Voucher: They help record expenses and also help with your payment. They can also be defined as source documents that help identify the origin of a transaction.

Example: cash memos, pay-in-slips.

5 0
2 years ago
Alexi and Tony own a food truck together that serves only two​items, street tacos and Cuban sandwiches. Some customers purchase
Ann [662]

Alexi spends more time in the production of tacos and Tony spends more time in the production of Cuban sandwiches. So they enjoy comparative advantage in the production of these goods respectively.

Answer: Alexi earns $4200 and Tony earns $6300. Collectively they earn $10500 per week.

<u>Explanation:</u>

The opportunity cost of Alexi for producing one Taco is <u>0.67</u> cuban sandwiches.

The opportunity cost of Tony for producing one cuban sandwich is <u>1.29</u> tacos.

<u>Tony</u> has a comparative advantage in the production of cuban sandwiches.

<u>Alexi</u> has a comparative advantage in the production of street tacos.

Combined together they will produce a total of <u>1410</u> tacos and <u>1530</u> cuban sandwiches.

Alexi will spend <u>20 hours</u> in the production of tacos and Tony will spend<u> 20 hours</u> in the production of cuban sandwiches.

Tony will specialize in cuban sandwiches and will earn<u> </u><u>$ 6300 </u>and Alexi will specialise in producing tacos and will earn<u> $ 4200</u>.

Their joint revenue will be<u> $10500</u> per week.

7 0
2 years ago
A benefit of using a debit or credit card instead of cash is that it provides a paper record of a purchase. A proof of purchase
crimeas [40]
Hey there,

A benefit of using a debit or credit card instead of cash is that it provides a paper record of a purchase. A proof of purchase is often needed in all of the following situations except: Equipment rental
<span>
~Jurgen


</span>
7 0
2 years ago
Read 2 more answers
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