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
Answer:
d. $ 263.50
Explanation:
The Exchange rate is 1 dollar = 19.924 Uruguayan Peso.
We need to buy 5000 Uruguayan pesos but the agent requires a comision of a 5% when converting currency, so really we will need to buy:
5,000 Uruguayan pesos + 5,000 Uruguayan pesos* 0.05 = 5,250 Uruguayan pesos.
Now if we apply the given exchange rate we will obtain the amount of US Dollars we need:
x U$S = (5,250 Ur.$)/(19,924 Ur.$/U$S)= 263,50 U$S needed
Answer:
less reliable than the appraiser's.
Explanation:
in such a scenario the broker's opinion of value will be less reliable than the appraiser's. This is mainly because the broker does not have all the information that the appraiser has and is making his opinion without this information, which may lead to unforeseen consequences that would not otherwise occur if the broker had this information and was able to see a much bigger picture of the situation to incorporate into his opinion.
Answer:
$ 1,212 Net INCOME
Explanation:
Income Statement
$ 7,030 Sales
-$ 230 Sales returns and allowances
$ 6,800 Net Sales Revenues
-$ 90 Depreciation expense
-$ 3,400 Cost of goods sold
$ 3,310 Gross PROFIT
-$ 499 Advertising expense
-$ 114 Research and development expense
-$ 460 Salaries and Wages Expenses
-$ 105 Rent expenses
-$ 60 Utilities Expenses
-$ 1,238 Operating EXPENSES
$ 2,072 Operating INCOME
-$ 46 Loss on disposal of plant assets
-$ 161 Interest Expenses
-$ 207 NonOperating EXPENSES
$ 1,865 NET INCOME AFTER TAXES
-$ 653 Income Tax Expenses 35%
$ 1,212 Net INCOME