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3 years ago

The standard deviation of a portfolio:

Business

1 answer:

lions [1.4K]3 years ago

4 0

Answer:

d. can be less than the standard deviation of the least risky security in the portfolio.

Explanation:

The modern portfolio theory is a mean-variance analysis and is the mathematical assessment of the portfolio of assessment such as the expected return and is maximized for a given set of risks and is by finding the weight of the first asset and then multiplying it by the variance of the assets and square of the variable of the second asset is multiplied by the second assets.

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Where is Nova City Islamabad located? Also is it under progress or has the development been completed?

elena55 [62]

Answer:

Nova City is a prime location in Islamabad

Explanation:

It is a few kilometers away from the New Islamabad International Airport. It is right next to CPEC Ring Road Interchange and is at the center of twin cities.

The project is not yet launched, but the development of the infrastructure has started that will attract the investors towards the project.

7 0

2 years ago

Clayborn Company deposits all cash receipts on the day they are received and makes all cash payments by check. At the close of b

sattari [20]

Answer:

Clayborn Company

The adjusted cash account balance (debit) should be:

$23,150

Explanation:

a) Data and Calculations:

Cash account balance (debit) $24,525

Bank Statement balance $21,800

Reconciliation issues:

Deposit in transit $ 7,450

Outstanding checks $ 6,100

Bank service fees, not yet recorded by company $ 100

A NSF check from a customer, not yet recorded by the company $ 1,275

b) Adjusted Cash balance:

Cash account balance (debit) $24,525

NSF check (1,275)

Bank service fees (100)

Adjusted cash balance (debit) $23,150

c) Adjusted Bank Statement balance:

Bank Statement balance $21,800

Deposit in transit 7,450

Outstanding checks (6,100)

Adjusted bank statement $23,150

4 0

3 years ago

A revenue account is increased by debits. is decreased by credits. has a normal balance of a debit. is increased by credits.

Elenna [48]

Answer: is increased by credits

Explanation:

Revenue accounts are increased by credits because they are an equity account and equity accounts increase by credit. This is because the corresponding entry would be an asset such as cash and as the asset has to increase by being debited, revenue must be increased by credit.

Other accounts that are increased by credit include liabilities. Accounts that increase by debits apart from assets include purchases and expenses.

5 0

3 years ago

Aerotron Electronics has just bought a used delivery truck for $15,000. The small business paid $1,000 down and financed the res

dimaraw [331]

Answer:

Nominal interest rate = 12.23%

Explanation:

Given - Aerotron Electronics has just bought a used delivery truck for

$15,000. The small business paid $1,000 down and financed the

rest, with the agreement to pay nothing for the entire first year and

then to pay $526.83 at the end of each month over years 2, 3, and

4 (first payment is in 13th month).

To find - a. What nominal interest rate is Aerotron paying on the loan.

Proof -

As given ,

Price - $15,000

Down Payment - $1,000

⇒Loan Payment = $15,000 - $1,000

As given,

He will not pay for the entire first year. After that he will pay $526.83 for next 3 years.

Now,

Interest rate for 1 month = r %

So,

Loan after 1 year = 14,000( 1 + r)¹²

And

Annuity factor = $\frac{1}{r} - \frac{1}{r}. \frac{1}{(1+r)^{t} }$

and t = 3 years = 36 months

Now,

As we know,

Monthly loan payment = $\frac{Loan amount}{Annuity factor}$

⇒$526.83 = 14,000( 1 + r)¹² / $\frac{1}{r} - \frac{1}{r}. \frac{1}{(1+r)^{t} }$

By solving we get

r = 1.019%

Now,

Nominal interest rate = 1.019%×12 = 12.23%

7 0

3 years ago

Lester lent money to The Corner Store by purchasing bonds issued by the store. The rate of return that he and the other lenders

Alexxx [7]

Answer:

The correct answer is letter "E": cost of debt.

Explanation:

The cost of debt is the interest a company pays on its borrowings. It is expressed as a percentage rate. Also, the cost of debt can be calculated as a before-tax rate or an after-tax rate. Before interest is deductible for income taxes, the cost of debt is usually expressed as an after-tax rate.

7 0

3 years ago