Answer:
Portfolio return = 7.3%
Explanation:
<em>The portfolio expected rate of return would be the weighted average expected rate of return</em>
Weighted average expected rate of return=
12%× (1000/(3500+1000) + (3,500/(1000+3500)× 6%= 0.073333333
Expected rate of return = 0.073333333
× 100 = 7.3%
Portfolio return = 7.3%
83974875687168756574150674564736%
Answer: $10,000
Explanation:
If you purchase a house and pass the ownership test of having lived in the house for at least 2 years in the past 5, you can exclude $250,000 from the capital gains as a single person.
Lori passes the ownership test and so can claim the tax exclusion.
Capital gain:
= Cash received - Purchase costs
= (575,000 - 35,000) - (250,000 + 5,000 + 25,000)
= $260,000
After claiming exclusion of $250,000
= 260,000 - 250,000
= $10,000
Answer:
Carter Co.'s break-even point in units was 40000 units.
Explanation:
Total units sold = 14000 + 56000
= 70000
Weight of ark = 14000/70000
= 0.20
weight of bins = 1 -0.20
= 0.80
weighted average contribution = (40 *0.20 ) + (20 *0.80 )
= 8+ 16
= $ 24 per unit
Break Even Point (Units) = Fixed cost /weighted average contribution
= 960,000 / 24
= 40000 units
Therefore, Carter Co.'s break-even point in units was 40000 units.