Answer:
The degree to which the portfolio variance is reduced depends on the degree of correlation between securities is the correct answer.
Explanation:
Answer:
The correct answer is option C.
Explanation:
A drought adversely affects the production of crops causing the supply of agricultural products to decline. Because of the decline in supply, the supply curve for agricultural products will shift to the left. This implies that at any given price, a quantity lower than earlier will be supplied.
Good weather, on the other hand, positively affects the production of crops. This causes supply to increase. As a result, the supply curve will shift to the right, implying, an increase in the quantity supplied at each price level.
Answer:
$5,050.25
Explanation:
The daily interest multiplier has already been stated to reflect interest earned over a 180-day investment timing horizon, hence , in order to determine the compound of $5,000 saved for 180 days, we simply multiply the daily interest multiplier for 180 days by the actual amount saved as shown below:
FV=PV*interest multiplier
FV=future value=amount in the savings account after 180 days=the unknow
PV=the amount placed in savings account= $5,000
interest multiplier= 1.010050
FV=$5,000* 1.010050
FV=$5,050.25
