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Gwar [14]
1 year ago
9

You have a portfolio that consists of equal amounts of IBM stock and Treasury bills. If you replace one-third of Treasury bills

with more IBM stock , the expected portfolio return will ______, ceteris paribus.
Business
1 answer:
postnew [5]1 year ago
7 0

Answer: increase

Explanation:

You have a portfolio that consists of equal amounts of IBM stock and Treasury bills. If you replace one-third of Treasury bills with more IBM stock , the expected portfolio return will increase, ceteris paribus

The expected return for a particular investment are the returns which a an investor expects when he or she invests in a particular investment. In the above scenario, there'll be an increase in the expected portfolio return.

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On July 1 of the current year, the assets and liabilities of John Wong, DVM, are as follows: Cash, $10,970; Accounts Receivable,
irinina [24]

Answer:

$40,732

Explanation:

The computation of the amount of stockholders' equity is shown below:-

Amount of stockholders' equity = Cash + Accounts Receivable + Supplies Land - Accounts Payable

= $10,970 + $8,795 + $1,803 + $24,968 - $5,804

= $46,536 - $5,804

= $40,732

Therefore we have applied the above formula to reach out the amount of stockholders' equity.

3 0
1 year ago
Further From Center has 10,700 shares of common stock outstanding at a price of $41 per share. It also has 240 shares of preferr
DanielleElmas [232]

Answer:

capital structure weight is = 0.349

Explanation:

Given data:

Number of share 10,700

per share price is $41

number of share of stock is 240

per share price of preferred stock is $92

number of bonds 570

coupon rate is 6% paid semiannually

mutuarity life of bonds is 22 year

face value of bonds is $1000

selling price 104.5% per par

common stock = 10,700 \times $41 = 438,700

Preferred stock  = 240\times 92 = 222,080

Bonds = 570\times 1000\times 1.045  = 595,650

Total amount = 438,700 + 222,080+595,650 = 1,256,430

capital structure weight is = \frac{438,700}{1,256,430} = 0.349

8 0
1 year ago
Suppose the demand function for avocados is Q = 104 - 40p + 20tp + 0.01Y, where p is the price of avocados, pt is the price of t
LiRa [457]

Answer: equilibrium price = 4

Quantity of avocado = 110units

Explanation:

Q = 104 - 40p + 20tp + 0.01Y........eq1

Q = 58 + 15p - 20pf...........eq2

pt = $0.80,

Y = $4,000,

pf = $0.40

From eqn1 substituting of into it

Q = 104 - 40p + 20($0.80) + 0.01($4000)

= 104 - 40p + 16 + 40

= 160/40p

p = 4 equilibrium price

From eqn2. Substituting p and pf into it.

Q = 58 + 15p - 20pf

Q = 58 + 15(4) - 20($0.40).

Q = 58 + 60 - 8

Q = 110 quantity of avocado

8 0
2 years ago
Lonnie is considering the purchase of a rental property with several units. The property rents for $8,600 a month when all units
Ahat [919]

Answer:

$ 347,818

Explanation:

Intrinsic value of property = Net operating income / Capitalisation rate

WHILE

Net operating income = Earning from property - Operating expenses which is related to property

Earning from Property =

($8600+$200)*12*85%

=$8800*12*0.85

=$89,760

Operating expenses;

Property tax $10,000

Insurance $3,500

Advertising expenses $1,500

Maintenance cost $12,500

Interest expenses  $24,00

Total  $51,500

Net operating income =$89,760-$51,500

=$38,260

Net operating income for perpetuity

Intrinsic value = 38260/0.11

=$ 347,818

Therefore  the intrinsic value of the property is $ 347,818

3 0
2 years ago
Olivia owns a store with four employees and is taking Business 2425. She told her class that she tries to match the appropriate
muminat

Answer: c. contingency

Explanation:

Contingency management techniques aim to identify the risk that a company is facing by going into a particular situation and then coming up with ways to counter these risks. It is therefore a management technique that tries to adapt to the specific situation of the company.

Olivia in matching an appropriate technique to the company situation is therefore adhering to this management technique.

5 0
2 years ago
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