Answer: 19%
Explanation:
Dollar weighted monthly return = (w1 * r1) + (w2 * r2) + (w3 * r3)
Weight is the amount withdrawn.
r is the rate earned prior to withdrawal.
= (0.5 * 30%) + (0.4 * 25%) + (0.1 * -60%)
= 19%
Answer:
b. independent variable
Explanation:
The “treatment” in an experiment is also the independent variable, which is the variable that is controlled or manipulated to bring about a change or effect on the dependent variable.It is the variable the in which, when the value is manipulated or changed, it influences the value of the dependent variable. For example, income as an independent variable, when manipulated in an experiment can influence a dependent variable such as household consumption. Changes to the independent variable result in changes in the dependent variable.
Answer:
The stock investment is preferred
Explanation:
The bond give a holding period yield of 14% which is calculated thus:
holding period yield =(p1-p0)/p0+return of 7%
=(107,000-100,000)/100,000+7%
=7%+7%
=14%
The stock investment of 15% is preferred over the bond return of 14%,since the stock portfolio comprises of assets that are not correlated which implies adverse performance in one stock asset does not affect the performance of others,invariably the 15% return is near guarantee.
Answer:
The answer is d.investors view dividends as being less risky than potential future capital gains.
Explanation:
This is called the "Bird in Hand theory" as well. What it says technically is that investors prefer dividends from stock investing to potential capital gains because of the inherent uncertainty associated with capital gains.
In other words, a Bird in hand worth 2 in the bush!
This is because of the inherent risk in the capital gains in the market. You can NEVER predict the future of a market. Dividend however, can be predicted along with the annual performance of a company.
