A. 1. Return predicted by capital asset pricing model for portfolio of .8
= (Risk free return+(Market return- risk free rate)B
B= Beta.
=(.06+(-12-06),8)
=(.06+,048)
= 10.80%.
A.2. Capital Asset pricing model return for portfolio of Beta of 1.5
=(.06+(-12-.06)1.5)
= 15.00%.
A.3. PORTFOLIO A- Portfolio A will be selected for investment because expected return is higher than required return and the portfolio is currently undervalued.
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I think the correct answer for this would be enchancement
Answer: Monetary unit assumption
Explanation: The monetary unit of assumption states that every transaction of the business can be expresses in relation to monetary units and these units will be stable over time. The key point in this assumption is that it assumes monetary units to be stable and dependable.
In the given case, Lawton records transactions in dollars and disregards changes in value of dollars over time. Hence, we can conclude that Lawton is following monetary unit assumption.
Answer: Incorret
Explanation: This is incorrect because the more information we have about the market and the obsolescence time of our products, the better we will be able to coordinate the marketing strategy so that the time spent will be paid with greater profits in the future.
For example, appliances affected by competition or improvements become appliances that replace the previous ones if you do not evaluate the obsolescence time of these items, it is likely that when our product is launched, there is already a better one in the market.
Answer:
here is ur answer
Explanation:
wealth management comes down to what services you need. Asset management is about choosing and managing investments. Wealth management, on the other hand, looks more broadly at a person's financial life and portfolio. Some financial advisors do both, allowing you to hire just one person for the job.