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gizmo_the_mogwai [7]
3 years ago
9

An investment banker has recommended aâ $100,000 portfolio containing assetsâ B, D, and F.â $20,000 will be invested in assetâ B

, with a beta ofâ 1.5; $50,000 will be invested in assetâ D, with a beta ofâ 2.0; andâ $30,000 will be invested in assetâ F, with a beta of 0.5. The beta of the portfolio isâ
Business
1 answer:
soldier1979 [14.2K]3 years ago
8 0

Answer:

β = 1.45

Explanation:

The beta of the portfolio is defined as an average of the betas (β) of each asset within the portfolio weighted by their respective invested amounts (A):

A_{P}* \beta_{P} =A_{B}* \beta_{B} +A_{D}* \beta_{D} +A_{F}* \beta_{F} \\\beta_{P} =\frac{20,000 * 1.5 + 50,000*2.0 +30,000*0.5}{100,000}\\\beta_{P} = 1.45

The beta of the portfolio is 1.45

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After several United Airlines flights were canceled because of bad weather, reservation clerks had to scramble to get passengers rerouted to their destinations on other flights and/or airlines.  This is primarily an example of adaptive task performance. This is further explained below.

<h3>What is adaptive task performance.?</h3>

Generally, The capacity of a person to adjust to quickly changing work settings is what is meant by "adaptive performance." Problems can be solved imaginatively, ambiguity can be managed, new tasks can be learned, adaptation in interpersonal relationships can be shown, and emergencies can be handled. These are all aspects of adaptive performance.

In conclusion, Because of the inclement weather, numerous flights operated by United Airlines had to be canceled, and reservation clerks had to work quickly to rebook customers on other flights and/or airlines so that they could reach their final destinations. First and foremost, this is an illustration of adaptable task performance.

Read more about adaptive task performance.

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4 0
1 year ago
Because of the perceived downward sloping nature of a monopolist’s demand curve, the monopolist will charge a relatively low pri
Citrus2011 [14]

Because of the perceived downward sloping nature of a monopolist’s demand curve, the monopolist will charge a relatively low price at a<u> high level of output.</u>

<h3>What is demand curve?</h3>

Demand curve can be defined as a curve that help to show the relationship between the quantity of a product that is demanded and the price of the product at a specific period of time.

Hence, , the monopolist will charge a relatively low price at a high level of output based on the fact that in a situation where monopolist increases its output, he will tend to get a price.

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4 0
2 years ago
Cơ cấu tổ chức của khách sạn intercontinental Đà Nẵng
PtichkaEL [24]

Answer:

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Explanation:

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8 0
2 years ago
Suppose you are committed to owning a $203,000 Ferrari. If you believe your mutual fund can achieve an annual rate of return of
liraira [26]

Answer:

the present value is $88,087.08

Explanation:

The computation of the present value is shown below:

As we know that

Future value = Present value × (1 + rate of interest)^number of years

$203,000 = Present value × (1 + 0.11)^8

So, the present value is $88,087.08

hence, the present value is $88,087.08

7 0
2 years ago
Orwell Building Supplies' last dividend was $1.75. Its dividend growth rate is expected to be constant at 25% for 2 years, after
EleoNora [17]

Answer:

Best estimate of the current stock price= $42.64

Explanation:

Price of the stock today = \frac{D1}{(1+ke)^1}+\frac{D2}{(1+ke)^2}+\frac{P2}{(1+ke)^2}.

where P2 = \frac{D3}{ke-g}

D0=$1.75

D1=$1.75(1.25)

D2=$1.75(1.25)(1.25)

D3=$1.75(1.25)(1.25)(1.06)

Price of the stock today = \frac{1.75(1.25)}{(1+0.12)^1}+\frac{1.75(1.25)(1.25)}{(1+0.12)^2}+\frac{1.75(1.25)(1.25)(1.06)}{(0.12-0.06)(1+0.12)^2}. = $42.64

8 0
3 years ago
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