Answer:
= $406.6
Explanation:
To calculate return of portfolio we first calculate weight of each asset
this can be done by finding total investment and then dividing each asset by total investment.
Total investment = 8000 + 7000 + 5000 = $20,000
General Dynamics 8000/20000 = 0.4 = W1
Starbucks 7000/20000 = 0.35 = W2
Nike 5000/20000 = 0.25 = W3
Now for portfolio return we can use the formula
P(r) = W1 * (Return on W1 asset) + W2 * (Return on W2 asset) + W3 * (Return on W3 asset)
So,
P(r) = 0.4 * (0.0680) + 0.35 * (-0.0152) + 0.25 * (-0.0062)
This gives us
Total Return % = 0.02033 or 2.033%
Simply multiply this cumulative weight to total portfolio worth
Total Return in $ = 0.02033 * 20000 = $406.6
Hope that helps.
Answer: During the year after the acquisition, the undervalued equipment will exceed Abbott's investment revenue by $1,200.
Explanation:
Multiply the amount exceeded of its carrying value by the % shares owned by Abbott.
Then divide the result by the useful life value of Barta's equipments
= (20,000 x 30%) / 5
= $1,200
Internal company records. That's the answer if you need me to explain it just tell me, hope it was helpful. Peace✌️
Answer:
The correct answer is D. Is the return investors require on the total assets of the firm.
Explanation:
The Weighted Average Capital Cost (WACC) is a financial measure, which has the purpose of encompassing in a single figure expressed in percentage terms, the cost of the different sources of financing that a company will use to fund a specific project.
To calculate the WACC, it is necessary to know the amounts, interest rates and tax effects of each of the selected sources of financing, so it is worth taking the time to analyze different combinations of these sources and take the one that provides the lower figure
.
Comparatively, without going into the detail of the project evaluation, "the WACC must be less than the profitability of the project to be funded" or expressed in another order, "the project performance must be greater than the WACC."
Answer:
job B
Explanation:
.05*50000=2500 and he gets 1000 so his total would be 3500
