Answer:
=> fraction of the portfolio that should be allocated to T-bills = 0.4482 = 44.82%.
=> fraction to equity = 0.5518 = 55.18%.
Explanation:
So, in this question or problem we are given the following parameters or data or information which are; that the utility function is U = E(r) – 0.5 × Aσ2 and the risk-aversion coefficient is A = 4.4.
The fraction of the portfolio that should be allocated to T-bills and its equivalent fraction to equity can be calculated by using the formula below;
The first step is to determine or Calculate the value of fraction to equity.
Hence, the fraction to equity = risk premium/(market standard deviation)^2 - risk aversion.
= 8.10% ÷ [(20.48%)^2 × 3.5 = 0.5518.
Therefore, the value for fraction of the portfolio that should be allocated to T-bills = 1 - fraction to equity = 1 - 0.5518 =0.4482 .
Answer:
The pro side of not listing the 10% would be that until the price reduction becomes official it could be considered just a rumor. The unethical argument for keeping the knowledge that will drop 10% is that the production manager kept from his boss the knowledge that a possible impending reduction could save the company money.
Many companies use blogs and tweets to help develop a positive online presence.
Option B : To fit in all the AIDA elements, break a longer message into a multi-part tweet.
Explanation:
Websites and Twitter accounts of businesses are strong marketing resources which can help to portray an optimistic and knowledgeable presence online.
The concepts underneath AIDA even now relate to micro-names, even though you likely won't use the complete, four-part plan. Using catching and interesting interest recipients, and seek to always have a call for action. Do not spread endless retweets, numerous tweets, or other things that are more distressing to your viewers than they receive.
Answer: -$45 billion.
Explanation:
Net Exports refers to Exports out of a country less imports into the country and it is a component of GDP using the Expenditure method. The other components include Government Spending, Investment and Consumption all of which are given in the above question.
The Net Exports are therefore;
GDP = Consumption + Investment + Government Spending + Net Exports
3,542 = 2,343 + 865 + 379 + Net Exports
3,542 = 3,587 + Net Exports
Net Exports = 3,542 - 3,587
Net Exports = -$45 billion
The Net Exports are negative which means that more goods were imported than were exported.
Answer:
80 dollars.
Explanation:
Opportunity cost is the cost of the next best option that was forgone when one alternative is chosen.
Lisa next best option is going out with a friend, which she values at 80 dollars.
I hope my answer helps you
