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3 years ago

In the T-bill secondary market the ask yield will normally be less than the bid yield. True or False

Business

1 answer:

Digiron [165]3 years ago

4 0

Answer:

TRUE

Explanation:

Treasury moved from a competitive pricing market to a specific price offer, since the latter reduced investor's average sale price and investors want Treasury bill in less than their bid value

If treasury bill goes to sell in secondary market then investors wants to get their investment back , that's why treasury bill yield less than normally yield.

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Segmentation and targeting influence a company’s resource allocation, potentially affecting strategic decisions in all of the fo

maxonik [38]

Answer:

The correct answer is letter "C": mission formulation.

Explanation:

Segmentation and targeting is the process by which companies classify their existing and potential customers by sex, age, race, and income. This is done to analyze specific consumers' preferences and behavior so the firm can provide them with a good or service they are likely to consume.

Segmentation implies analyzing pricing, salesforce, advertising, and customer management but mission formulation is a step that the firm takes before starting segmenting its market.

4 0

3 years ago

The Stagnant Growth Corporation has paid a constant dividend of $2.50 per year for the past 3 years and is expected to continue

AleksAgata [21]

Answer:

20.83%

Explanation:

Data provided

Dividend = $2.50

Required rate of return = 12%

The computation of the current price of the stock is shown below:-

The current price of stock = Dividend ÷ Required rate of return

= $2.50 ÷ 12%

= 20.83%

So, for computing the current price of the stock we simply divide the dividend by required rate

6 0

3 years ago

A company's Cash account shows an ending balance of $4,600. Reconciling items included a bookkeeper error of $105 (a $525 check

aleksandrvk [35]

Answer:

$5,275

Explanation:

Bank Reconciliation Statement

Balance as per Cash Book $4,600

Add check error $105

Add unpresented checks $830

Less Lodgments not yet credited ($260)

Balance as per Bank Statement $5,275

therefore,

The adjusted Cash book balance is $5,275

6 0

2 years ago

Which of the following best describes how to use a test-retest reliability estimate to assess reliability?

Inessa [10]

Answer:

Explanation:

Based on the scenario being described within the question it can be said that the in order to test positively in reliability a test needs to provide the same output no matter how many times the same input is introduced. Therefore the best way to assess the reliability would be to administer the same test to different people at two different points in time and compare their test scores at time 2 with the scores at time 1

6 0

3 years ago

There are three economy situations and two stocks Information is as follows Economy Stock A Stock B Booming 0.3 10 20 Neutral 0.

Bumek [7]

Answer:

a) A = 4.50% and B = 2.00%

b) SD for A = 4.15 %

c) Portfolio Return = 3.0%

Explanation:

a) Expected Returns for Both A and B respectively:

In order to calculate the expected returns, let's categorize the given data first.

Economy Probability Stock A Stock B

Booming 0.30 10% 20%

Neutral 0.30 5% 0%

Recession 0.40 0% -10% (not 10%)

So,

Expected Return for Stock A:

A = Sum of (all Probability x Stock A)

A = (0.30 x 0.10) + (0.30 x 0.05) + (0.40 x 0.00)

A = 0.045

A = 4.50 %

Return for Stock B:

B = Sum of all Probability x Stock B

B = (0.30 x 0.20) + (0.30 x 0.00) + (0.40 x -0.10)

B = 0.002

B = 2.0%

b) Standard Deviation /Risk for Stock A:

SD for A = Sum (Square Root (Probability*(Stock A Return - Expected Return of Stock A)²) )

SD for A = $\sqrt{0.30*(0.10-0.045)^2 + 0.30*(0.05-0.045)^2+0.40*(0.00-0.045)^2}$

SD for A = 0.0415

SD for A = 4.15%

c) Portfolio Return Given that:

Value Weight Return

Stock A 4000 0.4 4.50%

Stock B 6000 0.6 2.0%

10000

Portfolio Return = Sum of ( Weight x Return)

= (0.4 x 0.045) + (0.6 x 0.02)

= 0.03

Portfolio Return = 3%

6 0

3 years ago