Answer:
E-Mini futures = $2,939.25
Contract Size = 50
Portfolio Value = $10,000,000, Beta 1.5
Target Beta 2, Planning to increase the exposure
Calculation of Number of contracts needed = [Portfolio Size x (Target Beta - Actual beta)] / Contracts Size x Future Price
= (10,000,000 x (2 - 1.5) ] / 50 x 2939.25
= (10,000,000 x 0.5) / 146962.5
= 5,000,000 / 146962.5
= 34.02228459641065
= 34
So, you need to go Long 34 contracts to Increase the exposure.
Answer:
Alberich Jewelers
The gross profit that Alberich should report is 760.
Explanation:
a) Data and Calculations:
Cost of gold ring purchased first = $640
Cost of gold ring purchased next = $720
Cost of gold ring purchased recently = $750
Sale of one gold ring = $1,400
Using the FIFO method of inventory, the gross profit for the gold ring sold is based on the first gold ring purchased, as follows:
= Sales Revenue - FIFO cost of inventory
= $1,400 - $640
= $760
<u>C) </u><u>Dividend yield plus the dividend growth rate. </u>
<h3><u>What Is Capital Gains Yield (CGY)?</u></h3>
The increase in a security's price, like that of common stock, is referred to as a capital gains yield. The CGY for common stock holdings is calculated by <u>dividing the increase in stock price by the original cost of the investment.</u>
Since only the following elements are required, calculating capital gains yield is straightforward:
- The security's initial purchase cost
- The cost of the security right now
- In spite of this, the idea excludes any income from the investment.
Learn more about the Capital Gains Yield (CGY) with the help of the given link:
brainly.com/question/15518026?referrer=searchResults
#SPJ4
Answer:
Explanation:
AAA AEP
Beginning balance, 1/1/20 200,000 110,000
Less: Distributions (140,000) (0)
Less: Loss (ordinary) (120,000) (0)
Ending Balance (60,000) 110,000
Here AAA is adjusted first for the distributions and then for the loss. The negative balance must be restored to a positive before the shareholders may receive any distributions that will not be taxed as dividend income.
