Answer:
$118,421
Explanation:
first we must calculate the expected value of the risky portfolio = ($70,000 x 0.5) + ($200,000 x 0.5) = $135,000
since your risk premium is 8% and the risk free rate is 6%m then you should discount the expected value by 8% + 6% = 14% to determine its current market price
= $135,000 / (1 + 14%) = $118,421
Answer: See explanation
Explanation:
A tariff is a tax that the government imposes on either the imports or the exports of products or sevices.
Apart from the fact that tariff is a way of generating revenue by the government, tariffs help protect the domestic industry. This is because tariffs increases the price of imported goods.
Since there is an increase in the price of the imports, consumers tend to buy from the local manufacturer since their products tend to be cheaper when compared to the imports. This gives an edge to the domestic companies.
Answer:
It is beneficial because it makes money from the trade.
The answer is "polyphonic"
Hope this helps:)
