1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
miv72 [106K]
3 years ago
12

Shen and Valerie are building their portfolios. Shen purchases shares in a mutual fund and pays fees to a manager who actively m

anages the mutual fund's portfolio. He does so because he believes that the manager can identify inexpensive stocks that will rise in value. Valerie is not convinced. She buys shares in an index fund-a type of mutual fund that simply buys all of the stocks in a given stock index rather than actively managing a portfolio.
Shen builds his portfolio on the supposition that:

a) The stock market follows the efficient markets hypothesis

b) Stock prices follow a random walk

c) Stock analysts can use fundamental analysis to identify undervalued stocks
Business
1 answer:
Taya2010 [7]3 years ago
8 0

Answer:

Option a

Explanation:

The efficient-market theory relates to the financial economics concept which claims that asset values represent all the knowledge available. The direct inference is that it is difficult to reliably "outperform the market" on a threat-adjusted basis because stock rates will respond only to fresh knowledge.

Thus, she is building her portfolio by including an index fund, which are the funds that are managed by copying a particular index of some proclaimed funds such as S and P etc.                                

You might be interested in
Which of the following four companies will have the lowest carrying value on their bonds if they decide to redeem their bonds be
Dennis_Churaev [7]

Answer:

C) Company 1 sold their bonds at 94 and redeemed them at 106.

Explanation:

The face value of bond issued in 4 companies are same, then it's clearly that the company 1 will have the lowest carrying value on their bonds because they sold at lowest price but buy back (redeem) at highest prices.

6 0
3 years ago
How do i find the net income?
marishachu [46]

Answer:

Subtract all your expenses from your earnings which would be 750,000 - 200,000 -150,000 - 50000 = $350,000 net income

6 0
3 years ago
The taylor rule puts _________ as much weight on closing the unemployment gap as it does on closing the inflation gap.
ella [17]

Taylor's rule puts double weight on closing the unemployment gap in comparison to the inflation gap.

<h3>What is inflation?</h3>

Inflation is the scenario where the price of goods or services is increased in such a way that results in decreasing the purchasing power of people.

The focus of Taylor's principle is to close the gap in unemployment by much double weight in contrast with the gap in inflation. It wants that the unemployment gap should be twice the inflation gap at the time of closing.

Therefore, the twice weight should be put up on unemployment as suggested by the rule of Taylor.

Learn more about Taylor in the related link:

brainly.com/question/461247

#SPJ1

8 0
2 years ago
Fragment Company is a wholesaler that sells merchandise in large quantities. Its catalog indicates a list price of $300 per unit
iren2701 [21]

Answer:

Recognized Sales Value = $18,000

Explanation:

Fragment company selling Price is $300/Unit

40% trade discount is offered for purchases of 50 units and more. That is, $300 x 40% = $120.

This implies anyone buying 50 or more will pay only $180/Unit ($300 - $120)

Customer Purchased 100 units

Sales terms is FOB, which implies Fragment is responsible for transportation costs of the products from his warehouse to the Port of Shipment including loading onto the ship. The Buyer will be responsible for Marine Freight expense, Insurance, Off-loading and shipment to his own warehouse

The $7 Per Unit indicated will account for inland transport to Port of shipment

Recognized Sales  =  100 units x $180 = $18,000

Cost of Haulage (Carriage outwards) is $7 x 100 units = $700

4 0
3 years ago
A property consists of 8 office suites, 3 on the first floor and 5 on the second floor. The contract rents are as follows: 2 sui
tangare [24]

Answer:

$89,100

Explanation:

Let us first calculate annual gross rent for Year 1:

Total rent per month:

= 2 suites at $1,800 + 1 suites at $3,600 + 5 suites at $1,560

= $3,600 + $3,600 + $7,800

= $15,000

Annual gross rent = Total rent per month × 12

                              = $15,000 × 12

                              = $180,000

Effective gross revenue = Potential gross rent revenue - Vacancy and connection losses (10% of potential gross rent)

                                        = $180,000 - $18,000

                                        = $162,000

Net operating income = Effective gross revenue - Operating expenses including depreciation

                                      = $162,000 - $72,900

                                      = $89,100

6 0
3 years ago
Other questions:
  • ToySpot, a soft toy manufacturer, receives an order of 250 teddy bears. For this particular order, its total inventory includes
    11·1 answer
  • The estimated serving size for pasta and vegetables according to the "hand method" is
    10·1 answer
  • An opportunity cost: Multiple Choice Is an unavoidable cost because it remains the same regardless of the alternativ
    9·1 answer
  • Chapter 12 is meant primarily for: A. farmers B. states C. taxing districts D. municipalities
    14·1 answer
  • What is the main purpose of monetary policies?
    7·2 answers
  • The sales forecasting method that consists of making a product available to buyers in one or more locations and measuring purcha
    12·1 answer
  • The short run is defined as A. a period of time of five years or less. B. the period of time in which all factors of production
    15·1 answer
  • U.S. exports create a:____.
    11·1 answer
  • A project has sales of $600,000, costs of $366,500, depreciation of $34,500, interest expense of $5,500, and a tax rate of 21 pe
    7·1 answer
  • there are times when marketers forget that marketing is not just a department, and they fail to market the dashboard to .
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!