Answer:
1.
Required rate = risk free rate + beta (market rate – risk free rate)
.12 = 0.0525 + 1.25(X – 0.0525)
1.25X – 0.065625 = .12 – 0.0525
1.25X = 0.0675 + 0.065625
X = .1333125/1.25
= 0.1065
Marker risk premium = market rate – risk free rate
= .1065 – 0.0525
= 0.054 (A)
2.
Beta of portfolio = (5000000/5500000)* 1.25 + (500000/5500000)* 1
= 0.90909* 1.25 + 0.090909* 1
= 1.136 + 0.090909
= 1.2273
3.
Required rate = risk free rate + beta (market rate – risk free rate)
= 0.0525 + 1.2273* 0.054
= 0.0525 + 0.06627
= .11877 or 11.88%
Answer: Keynesian Economic Theory
Explanation: The policy adopted by the President was to cut back taxes and increase government spending on road, bridges and schools. This policy of the government is called the expansionary fiscal policy which is used to combat an economy suffering from recession. The Keynesian theory also supports the argument that when an economy is suffering from recession, economic output is influenced by aggregate demand. Thus, the government and use its fiscal policy tools to bring the economy out of recession. It also supports that the Fed can also use its monetary policy to bring the economy out of recession. But since here taxes and government spending are uses, we can say that Obama was a proponent of Keynesian Economic theory.
Answer:
Self-managed
Explanation:
Self managed team is management concept wherein group of diverse skill people are expected to work on their own without any supervision. This ensures collective accountability for any task undertaken. Employees have freedom to take their own decision. Self managed team concept is being implemented in organization with aim of increasing productivity, efficiency, cost saving and increased employee satisfaction.
Answer:
Vertical publication
Explanation:
Vertical publication are those types of publications where the editorial content is majorly focused on one type of industry or business. They are similar to trade magazines. In this case, the publication is concerned and majorly focused on marketing industry, hence why we refer to it as a vertical publication. They are publications usually written to benefit a particular business, industry or profession.
