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timama [110]
3 years ago
10

At the beginning of the month, you owned $8,000 of General Dynamics, $7,000 of Starbucks, and $5,000 of Nike. The monthly return

s for General Dynamics, Starbucks, and Nike were 6.80 percent, −1.52 percent, and −0.62 percent. What is your portfolio return?
Business
1 answer:
guajiro [1.7K]3 years ago
8 0

Answer:

= $406.6

Explanation:

To calculate return of portfolio we first calculate weight of each asset

this can be done by finding total investment and then dividing each asset by total investment.

Total investment = 8000 + 7000 + 5000 = $20,000

General Dynamics     8000/20000 = 0.4 = W1

Starbucks                    7000/20000 = 0.35 = W2

Nike                             5000/20000 = 0.25 = W3

Now for portfolio return we can use the formula

P(r) = W1 * (Return on W1 asset) + W2 * (Return on W2 asset) + W3 * (Return on W3 asset)

So,

P(r) = 0.4 * (0.0680) + 0.35 * (-0.0152) + 0.25 * (-0.0062)

This gives us

Total Return % = 0.02033 or 2.033%

Simply multiply this cumulative weight to total portfolio worth

Total Return in $ = 0.02033 * 20000  = $406.6

Hope that helps.

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Answer: Puresource Pharma would have to reduce it's cost

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3 years ago
Investment banks are guilty of conflict of interest when they A) pressure their analysts to produce research favorable to their
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Answer:

The correct answer here is option D.

Explanation:

Investment banks are special kind of financial institutions or intermediaries who are concerned with raising capital for other companies.

They also perform advisory based transaction services on the behalf of corporations, individuals and government.

In performing these functions, they often are found guilty of pressurizing analysts to produce favorable research for their clients, attempts to alter research of client's firm and permitting executives of client's firm to do so. They also get involved in prohibiting analysts from making any negative or controversial comments about client they are serving.

They do all these to maintain credit worthiness of their client firm, so that the client is able to procure capital.

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3 years ago
Andrea invests $5,000 in five Epic Electronics bonds that mature in 10 years. Unexpectedly just the week after she invests, she
VladimirAG [237]

Answer:

The answer is option C. She may immediately sell the bonds but it is unclear how much money they will sell for.

Explanation:

She may immediately sell the bonds but it is unclear how much money they will sell for.

Investors who hold onto their bonds until maturity are assured of to receive the face value of the bond. In our case, if Andrea would have chosen to hold her $5,000  bond investment for 10 years, she would have been assured the  bonds face value, however since she prefers to use the cash to work abroad, she can sell the bonds immediately.

Selling a bond before it's maturity date can either be beneficial or detrimental. This depends on the value of the bond at the time of sale. If at the time of sale the bond would have gained value, then the bond will sell at a higher price than when it was bought. On the other hand, if the bond at the time of sale has lost value, then the bond will sell at a lower price than the price which it was bought.

In our case, the best option for Andrea would be to sell the bonds immediately, since she really needs the cash. If it happens that at the point at which she sells the bonds they will have gained value, then she will have more than $5,000 cash, however, if at the point she decides to sell the bonds they will have lost value, then she will have less than $5,000 depending on how much value was lost from the time she bought the bonds and the time she sold the bonds.

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3 years ago
A team that consists of members who interact by computer network to collaborate on projects is called a(n)
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It is called solution. I guess so.
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Answer:

Revenue could be of amount $33,836,000

Explanation:

As the selling price is not given in the question, only the cost of the inventory is given, So,

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Note: It totally depend or grounded on the Sales value.

6 0
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