A company usually determines the amount of supplies used during a period by:

An investor is considering two investment, an office building and bonds. He can only invest on of them. The possible return from

Hitman42 [59]

Answer:

1) Calculate the expected return and variance of investing in office building.

expected return:

$50,000 x 0.3 = $15,000

$60,000 x 0.2 = $12,000

$80,000 x 0.1 = $8,000

$10,000 x 0.3 = $3,000

$0 x 0.1 = $0

expected return = $38,000

$50,000 - $38,000 = -$12,000² = $144,000,000

$60,000 - $38,000 = -$22,000² = $484,000,000

$80,000 - $38,000 = -$42,000² = $1,764,000,000

$10,000 - $38,000 = -$28,000² = $784,000,000

$0 - $38,000 = -$38,000² = $1,444,000,000

expected variance: (0.3 x $144,000,000) + (0.2 x $484,000,000) + (0.1 x $1,764,000,000) + (0.3 x $784,000,000) + (0.1 x $1,444,000,000) = $43,200,000 + $96,200,000 + $176,400,000 + $235,200,000 + $144,400,000 = $695,400,000

standard deviation = √$895,800,000 = $26,370

2) Calculate the expected return and variance of investing in bonds.

expected return:

$30,000 x 0.4 = $12,000

$40,000 x 0.6 = $24,000

expected return = $36,000

$30,000 - $36,000 = -$6,000² = $36,000,000

$40,000 - $36,000 = $4,000² = $16,000,000

expected variance: (0.4 x $36,000,000) + (0.6 x $16,000,000) = $14,400,000 + $9,600,000 = $24,000,000

standard deviation = √$24,000,000 = $4,899

3) Based on the expected return we should choose investing in a building, but if we consider the variance and the standard deviation of the investments, I would choose investing in bonds. The difference in expected returns is not that large (only $2,000) but the variance and standard deviations of investing in the office buildings is quite large, meaning that the risk is very high.

3 0

3 years ago

1- In 2013, Walmart decided to enter the Indian market in a joint-venture with Bharti Enterprises. Based upon your analysis of W

Ivahew [28]

Answer:

1- Walmart wanted global expansion and it availed the opportunity to expand its business by entering Indian market, however the Indian market is far different than the US market that is why a joint-venture was required to enter the different market as Bharti Enterprises was already operating in Indian market.

2- To enter a new market Joint-venture will be suitable because:

In acquisition the investor acquires all the shares of an existing organisation in this way the investor will not be able to operate with the same name as in other markets as the organisation whose shares are purchased already will have a name which if changed all the goodwill will be lost. In a Joint venture the investor and a local investor invests together to form a different organisation, in this method the organisations jointly own a newly formed organisation in which they both jointly decide the name and the local investor have knowledge about the local market which can be helpful if the customer taste is different than the investors market. In a Greenfield investment the investor purchases shares and bonds of an organisation already operating in the targeted market, in this way the investor will not be able to operate with the same name as in other markets as the organisation whose shares are purchased already will have a name which if changed all the goodwill will be lost.

Explanation:

1- Walmart wanted global expansion and it availed the opportunity to expand its business by entering Indian market, however the Indian market is far different than the US market that is why a joint-venture was required to enter the different market as Bharti Enterprises was already operating in Indian market.

2- To enter a new market Joint-venture will be suitable because:

In acquisition the investor acquires all the shares of an existing organisation in this way the investor will not be able to operate with the same name as in other markets as the organisation whose shares are purchased already will have a name which if changed all the goodwill will be lost. In a Joint venture the investor and a local investor invests together to form a different organisation, in this method the organisations jointly own a newly formed organisation in which they both jointly decide the name and the local investor have knowledge about the local market which can be helpful if the customer taste is different than the investors market. In a Greenfield investment the investor purchases shares and bonds of an organisation already operating in the targeted market, in this way the investor will not be able to operate with the same name as in other markets as the organisation whose shares are purchased already will have a name which if changed all the goodwill will be lost.

4 0

3 years ago

Number one victory Royale yeah fork knife we about to get down get down 10 kills on the board right now oh no my just got downed

Sav [38]

Answer:

Now we're in the Pleasant Park streets

Look at the map, go to the marked sheet

3 0

3 years ago

Bond valuationlong dashSemiannual interest Find the value of a bond maturing in 4 years, with a $1 comma 000 par value and a c

algol [13]

Answer:

824.28

Explanation:

Market price of a bond is the total sum of discounted coupon cashflow and par value at maturity. This is a 4-year bond with semi-annual payment so there will be 8 coupon payment in total. Let formulate the bond price as below:

Bond price = [(Coupon rate/2) x Par]/(1 + Required return/2) + [(Coupon rate/2) x Par]/(1 + Required return/2)^2 + ... + [(Coupon rate/2) x Par + Par]/(1 + Required return/2)^8

Putting all the number together, we have

Bond price = [(4.5%) x 1000]/(1 + 7.5%) + [(4.5%) x 1000]/(1 + 7.5%)^2 + ... + [(4.5%) x 1000 + 1000]/(1 + 7.5%)^8

= 824.28

7 0

3 years ago

A swot analysis contributes to the strategic planning process by identifying ____ resources.

velikii [3]

Below are the resources:

Logistical, human, technical, financial


A SWOT analysis is an organized arranging strategy that assesses those four components of an association, venture or business wander. A SWOT examination can be completed for an organization, item, place, industry, or individual. It includes determining the target of the business wander or extend and distinguishing the inside and outside variables that are great and negative to accomplish that goal.

4 0

3 years ago