Answer:
increases and decreases
Explanation:
The budget line will become flat and the slope will decrease. The proportion of stocks in the portfolio will fall.
The equation for the budget line is given by,
Rp=((Rm-Rf)/SDm)*SDp + Rj
where Rp is the expected return on the portfolio, Rm is the expected return from investing in the stock market, Rf is the risk-free return on Treasury bills, SDm is the standard deviation of the return from investing in the stock market, and SDp is the standard deviation of the return on the portfolio.
So when the standard deviation of the return on the stock market increases, the slope of the budget line decreases making the budget line to become flatter. The budget line’s intercept stays the same as Rf does not change. As stocks have become riskier without a compensating increase in expected return, the proportion of stocks in the investor’s portfolio will fall.
83.333%
or 5/6 in a calculator. Please give me Brainliest answer. Thank you a bunch.
Answer:
$212.38
Explanation:
In this question, we use the PMT formula which is shown in the spreadsheet.
The NPER represents the time period.
Given that,
Present value = $24,000
Future value = $0
Rate of interest = 6.75% ÷ 12 months = 0.5625%
NPER = 15 years × 12 months = 180 months
The formula is shown below:
= PMT(Rate;NPER;-PV;FV;type)
The present value come in negative
So, after solving this, the answer would be $212.38
Answer:
$520,000
Explanation:
Kela corporation reports a net income of $450,000
The depreciation is $70,000
A cash of $50,000 was borrowed on a 5-year note payable
Therefore, the total cash inflows from operating activities can be calculated as follows
= Net income+depreciation
= $450,000+$70,000
= $520,000
Hence the total cash inflow from operating activities is $520,000