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Katena32 [7]
2 years ago
13

the investment portfolio of younger investors should be heavily weighted toward conservative assets such as government bonds and

blue chip stocks.
Business
1 answer:
Elis [28]2 years ago
7 0

Among all the given statements, the one that is correct or true is “During an economic contraction, bond prices are likely to rise.” Hence, Option D is correct.

<h3>What is bond?</h3>

There are many kinds of investments that are made by people just for security purposes. Those, investment bonds are also one of them. Bonds are investments that are informal security and are owned by investors.

Here, investors invest their money by lending it to a company for a particular period of time. They receive the regular interest payment in exchange for this investment, which is done by lending money.

Thus,  Option D  is correct.

Learn more about bond from here:

brainly.com/question/10777799

#SPJ4

The complete question is attached in text form:

Which of the following statements is true?

1. The investment portfolio of younger investors should be heavily weighted toward conservative assets such as government bonds and blue chip stocks.

2. Bond prices and interest rates fluctuate directly.

3. The relationship between risk and potential reward is inverse.

4. During an economic contraction, bond prices are likely to rise.

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Refer to the demand schedule below.
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Answer:

Explanation:

Demand can be defined as the total quantity of a particular commodity which a consumer is willing and able to buy at a particular price and a particular time.

A demand schedule is a tabular representation of the total quantity of a particular commodity which a consumer is willing and able to buy at a particular price and a particular time.

Below is an attachment showing the tabular representation and the solution to requirement A

In the first Attachment all that was done was to use the values from the question to get our requirements Total revenue was gotten by (Price * Quantity)

Marginal Revenue was gotten by finding the Change in Total Revenue divided by Change in Quantity

So also a tabular representation of B

All that is required to plot the graph is to match the values gotten to the Y axis which represents revenue and X axis which represents quantity and connect the lines together.

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3 years ago
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Question:
Anastaziya [24]

Answer:

Part 1:

Book\  value\  per\  share\  of\ the\  preferred=\$25

Book\ value\ per\ share\ of\ the\ common\ stock=\$17.6428

Part 2:

Book\  value\  per\  share\  of\ the\  preferred=\$28

Book\ value\ per\ share\ of\ the\ common\ stock=\$16.7857

Explanation:

Part 1: (the book value per share of the preferred and common stock under No preferred dividends are in arrears)

Book value per share of the preferred :

Book\ value\  per\  share\  of\  the\  preferred=\frac{(Preferred\ Stock+Cumulative\ dividends)}{Number\ of\ shares\ of\ preferred\ stock}

In our case Cumulative dividends=0

Book\  value\  per\  share\  of\ the\  preferred=\frac{\$250000+0}{10000} \\Book\  value\  per\  share\  of\ the\  preferred=\$25

Book value per share of the common stock:Book\ value\ per\ share\ ofthecommonstock=\frac{Stockholder\ equity-Preferred\ Stock-Cumulative\ dividends}{Number\ of\ shares\ of\ preferred\ stock}In our case Cumulative dividends=0

Book\ value\ per\ share\ of\ the\ common\ stock=\frac{\$867500-\$250000-\$0}{35000} \\Book\ value\ per\ share\ of\ the\ common\ stock=\$17.6428

Part 2:

Annual Preferred Dividend=4%*$25*10,000=$10,000

Three years of preferred dividends are in arrears= 3*Annual Preferred Dividend

Three years of preferred dividends are in arrears= 3*$10000=$30,000

Formula for  the book value per share of the preferred is same as above,so we will direct calculate:

In our case Cumulative dividends=$30,000

Book value per share of the preferred :

Book\  value\  per\  share\  of\ the\  preferred=\frac{\$250000+\$30000}{10000} \\Book\  value\  per\  share\  of\ the\  preferred=\$28

Book value per share of the common stock:

Formula for  the book value per share of the common stock is same as above,so we will direct calculate:

Book\ value\ per\ share\ of\ the\ common\ stock=\frac{\$867500-\$250000-\$30000}{35000} \\Book\ value\ per\ share\ of\ the\ common\ stock=\$16.7857

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Answer:

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