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Musya8 [376]
3 years ago
8

Bill Dukes has $100,000 invested in a 2-stock portfolio. $32,500 is invested in Stock X and the remainder is invested in Stock Y

. X's beta is 1.50 and Y's beta is 0.70. What is the portfolio's beta
Business
1 answer:
pshichka [43]3 years ago
7 0

Answer:

0.98

Explanation:

Computation for Bill Duke portfolio's beta

First step is to find the Investment in Y which is:

Investment in Y=100,000-35,000

=$65,000

Second step is to calculate for the Portfolio beta using this formula

Portfolio beta=Respective beta*Respective Investment weight

Portfolio beta =(35,000/100,000*1.5)+(65,000/100,000*0.7)

Portfolio beta=(0.35*1.5) +(0.65*0.7)

Portfolio beta =0.525 +0.455

Portfolio beta=0.98

Therefore the Portfolio Beta will be 0.98

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Ruth and Stella were sisters. They owned a house as joint tenants with right of survivorship. Ruth sold her half interest to Roy
vekshin1

Answer: No. He was not.

Explanation:

Roy, in this case as a third party was simply a TENANT - IN - COMMON with Stella and is not entitled to the RIGHTS OF SURVIVORSHIP.

In a Joint Tenancy, there is a common ownership of property with the Rights of Survival. If Party A and B have Joint ownership and Party B dies, Party A automatically takes over the property. That is the Right of Survival.

However, third parties do not have such rights because they did not take the title at the same time or with the same instrument. When sold an interest they simply become a Tenant in Common with the remaining owner.

So even though Ruth sold her interest to Roy, upon Stella's death, the property passes in it's entirety to Ruth as Roy was just a Tenant in Common, not a joint owner.

If you need any clarification do react or comment.

3 0
3 years ago
The pharmaceutical industry is extremely dynamic. A company that releases a product to the general public with the intention of
miv72 [106K]

Answer:

"Threat Of Substitutes"

Explanation:

According to my research, the five forces model is a framework for analyzing the competitive environment that a company is will be going up against. That being said, based on this model this type of threat is called the "Threat Of Substitutes". This is defined as "the level of risk that a company faces from replacement by its substitutes"

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

4 0
3 years ago
Consider the following information for three stocks, Stock A, Stock B, and Stock C. The returns on each of the three stocks are
hichkok12 [17]

Answer:

b. 5.0%

Explanation:

For this question, we use the Capital Asset Pricing model (CAPM) formula that is shown below:

Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)

where,

The Market rate of return - Risk-free rate of return) is also known as the market risk premium

So, for stock A, the market risk premium is

10% = 5% + 1.0 × market risk premium

10 - 5% = 1.0  × market risk premium

5% ÷ 1.0 = market risk premium

So, the market risk premium is 5.0%

4 0
3 years ago
1) Define JTA <br><br><br>please help<br>​
otez555 [7]

Answer:

The Full form of JTA is Job Task Analysis.

Explanation:

JTA) allows applications to perform distributed transactions, that is, transactions that access and update data on two or more networked computer resources.


Hope it helps! ◕ ‿ ◕

Sorry if it’s wrong! :(

5 0
2 years ago
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Product-oriented layout is characterized by high demand for the same or similar products. Another name for this layout is
dexar [7]

Answer:

Repetitive layout

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In simple words,  Product-oriented layouts can be understood as the model that is  grouped around items with equivalent high low commodities or families. Consumer demand is strong enough to warrant the high investment in specialized equipment in such a design. The commodity is standardized or entering a life cycle period that justifies investments in advanced equipment.

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3 years ago
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