Answer:
15.05%
Explanation:
Calculation to determine the expected return on a portfolio
Using this formula
Expected return = (Return on stock A * Percentage invested in stock A) + ( Return on Stock B * Percentage invested in Stock B)
Let plug in the formula
Expected return= (20% * 67%) + (5% * 33%)
Expected return= 13.4% + 1.65%
Expected return= 15.05%
Therefore the expected return on a portfolio is 15.05%
- The expected return = = 12.84 %.
-
The standard deviation = 22.8 %.
<u>Explanation</u>:
On the client's portfolio (total investment = 120 K + 80 K = 200 K,
= (12.4 %risk premium + 5.4 %risk free return) 
(120 K / 200 K) + 5.4 % (80 K / 200 K)
= 17.8 % 0.6 + 5.4 % 0.4
= 12.84 %.
-
The standard deviation would be = 38 % 0.6 + 0% 0.4
= 22.8 %.
Answer and Explanation:
The journal entry is given below:
Work in process inventory Dr $100,000
To raw material inventory $100,000
(being the usage of the direct material is recorded)
here the work in process is debited as it increased the assets and credited the raw material inventory as it decreased the assets
Answer:
A) can cover all its costs, ⇒ C) and will have a profit per unit of $18.
Explanation:
The company sells its products at $49 per unit, and each unit's total cost is $31 (= $26 variable costs + $5 fixed costs), therefore the company is covering all its costs and making an $18 profit (= $49 - $31) for each unit is sells.
