Answer:
The portfolio beta is 1.048.
Explanation:
The portfolio beta is the measure of systematic risk for the whole portfolio. It is made up of the weighted average of the individual stock betas that form up the portfolio.
The weightage of stocks in portfolio is determined by the investments in stock as a proportion of total investment in the portfolio. The formula for portfolio beta is,
p Beta = wA * Beta of A + wB * Beta of B + ... + wN * Beta of N
The investment in Con Edison = 50000 - 12000 - 20000 = 18000
Using the above formula, we calculate the portfolio beta to be,
p Beta = 20000/50000 * 1.3 + 12000/50000 * 1 + 18000/50000 * 0.8
p Beta = 1.048
Answer:
Therefore, Olivia should buy 10 apples and 8 bananas to maximize her utility.
Explanation:
Let A represent the number of apples bought and B represent the number of bananas bought. Therefore since Olivia has $4 to spend:
0.2A + 0.25B = 4 (1)
Also, the tangency condition can be used to find the optimal amount of A to relative to B. It is give as:
Put B = 0.8A in equation 1:
0.2A + 0.25(0.8A) = 4
0.2A + 0.2A = 4
0.4A = 4
A = 10
B = 0.8(A) = 0.8(10) = 8
Therefore, Olivia should buy 10 apples and 8 bananas to maximize her utility.
Answer:
The stage of a product's life cycle impacts the way in which it is marketed to consumers. A new product needs to be explained, while a mature product needs to be differentiated from its competitors.
Explanation:
Answer:
Answer is Credit $30,539
Explanation:
So as of June 11, the account balance of Burling Mills is $14,289 and it is withholding tax payable account. Now on 25 June, the account is credited with $16,250. The total balance in the account is $30,539. No tax will be deducted on this amount because it is federal withholding tax payable account. So the right option is D) Credited $30,539