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yawa3891 [41]
1 year ago
14

You are considering investing in a project with the following possible outcomes: States Probability of Occurrence Investment Ret

urns State 1: Economic boom 18% 20% State 2: Economic growth 42% 16% State 3: Economic decline 30% 3% State 4: Depression 10% -25%
Business
1 answer:
ololo11 [35]1 year ago
5 0

Based on the given states, their probability of occurrence, and the investment returns, the expected return would be 8.72%.

<h3>What is the expected return for this investment?</h3>

This can be found by the formula:

= ∑ (Probability of occurrence x Investment returns if state occurs)

Solving gives:

= (18% x 20%) + (42% x 16%) + (30% x 3%) + (10% x -25%)

= 3.60 + 6.72 + 0.90 - 2.50

= 8.72%

Question:

Find the expected value of the investment.

Find out more on expected value at brainly.com/question/24305645.

#SPJ1

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It is always desirable to have a higher compounding frequency, regardless of the initial investment or the time horizon. True Fa
Katena32 [7]

Answer:

The answer is given below

Explanation:

Compounding frequency is the number of times the interest is paid in a year. A higher compounding frequency for a investment with the same initial investment and time horizon would produce more interest and profit as compared to that with a lower compounding frequency. But for a smaller initial investment or less time horizon of higher compounding frequency as compared to larger initial investment or more time horizon of lower compounding frequency, that of the lower compounding frequency is more desirable because it would produce more interest.

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Which of the following statements is true regarding the Unrealized Loss on Investments account
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Answer:

B) It is reported on the income statement when it pertains to short term investments

Explanation:

Unrealised loss is defined as a reduction in the value of an asset that is held by an investor rather than selling it and realising a loss.

Unrealised loss is also called paper loss. This loss is not realised until the asset is sold.

Unrealised losses are not usually recorded on the income statement unless they intend to be sold in a short time.

When a security is to be sold in the short run it is called a trading security. Trading securities are represented in the income statement as they can increase or reduce income

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3 years ago
Explain what a credit report is and list five kinds of information found on a credit report.
vodomira [7]

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Is the answer on edg

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Explain the meaning of personal account,real account and nominal account,give five examples each​
zysi [14]

Answer:

<h3>An example of a Real Account is a Bank Account. A Personal account is a General ledger account connected to all persons like individuals, firms and associations. ... A Nominal account is a General ledger account pertaining to all income, expenses, losses and gains. An example of a Nominal Account is an Interest Account</h3>
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2 years ago
A pump station has six 500 hp pumps that run an average of 5 hours a day each, a 5 hp sump
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Answer:

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Y=$8.4

Explanation:

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