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Sergeeva-Olga [200]
4 years ago
7

Searching for jobs and locating companies is just the start of finding employment

Business
1 answer:
MrRissso [65]4 years ago
7 0
That seems true if its a true or false question
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Assume that you manage a risky portfolio with an expected rate of return of 18% and a standard deviation of 42%. The T-bill rate
amm1812

Answer:

a. Expected Return = 16.20 %

   Standard Deviation = 35.70%

b. Stock A  = 22.10%

   Stock B  = 29.75%

   Stock C  = 33.15%

   T-bills  = 15%

Explanation:

a. To calculate the expected return of the portfolio, we simply multiply the Expected return of the stock with the weight of the stock in the portfolio.

Thus, the expected return of the client's portfolio is,

  • w1 * r1 + w2 * r2
  • 85% * 18% + 15% * 6% = 16.20%

The standard deviation of a portfolio with a risky and risk free asset is equal to the standard deviation of the risky asset multiply by its weightage in the portfolio as the risk free asset like T-bill has zero standard deviation.

  • 85% * 42% = 35.70%

b. The investment proportions of the client is equal to his investment in T-bills and risky portfolio. If the risky portfolio investment is considered of the set proportion investment in Stock A, B & C then the 85% investment of the client will be divided in the following proportions,

  • Stock A = 85% * 26% = 22.10%
  • Stock B = 85% * 35% = 29.75%
  • Stock C = 85% * 39% = 33.15%
  • T-bills = 15%
  • These all add up to make 100%
3 0
3 years ago
Read 2 more answers
Emma has decided that she needs to assess the risk and return of buying an extended warranty for her new laptop for school. whic
alukav5142 [94]

While purchasing the extending warranty for her new laptop, she is required to figure out some questions in order to identify the risk and return. The three questions can be :

a) Will the warranty cover the cost of physical damage?

b) Is the replacement cost lower than the warranty cost?

c) is the laptop worth the extra expense of the warranty?

<h3>What is the warranty?</h3>

Warranty is the guarantee raised by the vendor to the purchaser regarding the replacement or repairing of any acquired item within the allocated period of time. The general term of warranty is 1 year but it can exceed more than a year depending on the manufacturer.

Analysis of the questions is as follows:

a) Will the warranty cover the cost of physical damage?

As there are varied kinds of warranties associated with every product bought, so it is required to be known by her what type of damages are covered in the warranty which she is going to purchase.

b) Is the replacement cost lower than the warranty cost?

The cost of replacement can be greater than the cost of warranty so she vigilantly checked the prices of both as she needs to get the laptop replaced sometime in the future.

c) Is the laptop worth the extra expense of the warranty?

There are varied kinds of warranties and extra costs attached to the product which helps her in analyzing its quality.

Learn more about the choice of warranty here:

brainly.com/question/7720644

5 0
2 years ago
Your organization has been developing a new product for the last three years. The technical specifications of the product were l
steposvetlana [31]

Based on commercial data classification levels, it is correct to say that the sensitive data level has been breached.

<h3 /><h3>What is the data sensitive level?</h3>

Corresponds to data breaches that would negatively impact a business, jeopardizing operations and market positioning, such as leaking financial and intellectual property data.

Therefore, information security must be a criterion to be achieved in organizations and all their processes to avoid consequences of a data leak.

Find out more about information security here:

brainly.com/question/25226643

#SPJ1

4 0
2 years ago
Andretti Company has a single product called a Dak. The company normally produces and sells 87,000 Daks each year at a selling p
Talja [164]
I’m sorry this isn’t an answer I’m just trying to ask a question sorry for waiting ur time
3 0
3 years ago
What is the value today of receiving $5,000 at the end of six years, assuming an interest rate of 8% compounded semiannually?
Ulleksa [173]

Answer:

$3,122.96

Explanation:

Future value = 5000

i = 8%

n = 6

m = 2

Present Value = FV(1+i/m)^mn

Present Value = 5,000(1+0.08/2)^-2*6

Present Value = 5,000(1.04)^-12

Present Value = 5,000 / (1.04)^12

Present Value = 5,000 / 1.6010322

Present Value = 3122.985284118583

Present Value = $3,122.96

6 0
3 years ago
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