Data for lozano chip company and its industry averages follow.

If a country's money losses its function as a store of vaule?

Alexus [3.1K]

If the country's money loses its value, people will remove their savings from banks, shift their money into other currencies and purchase investments that are not tied to the country's currency.

6 0

3 years ago

The following expenditures were incurred by Tamarisk, Inc. in purchasing land: cash price $74,000, accrued taxes $4,400, attorne

Stels [109]

Answer:

$87,800

Explanation:

The following expenditures were incurred by Tamerisk incorporation when purchasing a land

Cash price = $74,000

Accured taxes = $4,400

Attorneys fee= $4,300

Real estate brokers commission = $1,500

Clearing and grading = $3,600

Therefore the cost of the land can be calculated as follows

= $74,000 + $4,400 + $4,300 + $1,500 + $3,600

= $87,800

Hence the cost of the land is $87,800

5 0

3 years ago

Tache Corporation uses the weighted-average method in its process costing system. The first processing department, the Welding D

leonid [27]

Answer: c. $1.994

Explanation:

Cost per Equivalent Unit of Production (EUP) for Conversion = Total Conversion costs/ EUP

Total Conversion cost

= Conversion cost for beginning work in process inventory + Conversion cost incurred in the month

= 7,840 + 203,300

= $211,140

EUP = Units completed + Percentage of ending Units completed with regards to conversion

= 92,900 + (90% * 14,450)

= 105,905 units

Cost per Equivalent Unit of Production (EUP) for Conversion = 211,140 / 105,905

= $1.9936

= $1.994

8 0

3 years ago

Administrative activities, such as archiving project files, closing out contracts, documenting lessons learned, and receiving fo

antiseptic1488 [7]

Answer:

Administrative activities, such as archiving project files, closing out contracts, documenting lessons learned, and receiving formal acceptance of the delivered work as part of the phase or project, are often involved in closing.

Explanation:

A project is any exercise by an individual or group that has been carefully designed to achieve a certain future goal. A project needs to take into a account various strategies for it to actually achieve what was originally set out in the goals. A project that achieves its goals can be described as a successful project. Most undertakers of a project always wish for their project to be successful, since a project always involves investment in terms of finance, human resources and time. The amount of investment in a project depends on the scope and level of complexity of the project. Vast complex projects usually require for them to be broken down into different phases to make them simple in understanding and execution.

For projects to be successful, one needs to find a way in which the resources going into the project are dealt with in such a way that the direction of the project is in line with the project goals. This is what is defined as project management and it has different phases. The phases of project management are;

1. Initiating: this deals with the planning phases of the project where the goals are set and the project needs are determined. This phase deals with determining the procedure for project execution.

2. Executing; once all the project needs have been determined and purchased, they are put to work.

3. Monitoring and controlling: in this stage, the workings of the project are checked if they have attained the standards stated.

4. Closing: in this stage, administrative activities, such as archiving project files, closing out contracts, documenting lessons learned, and receiving formal acceptance of the delivered work as part of the phase or project is done.

4 0

3 years ago

What is Jensen's alpha of a portfolio comprised of 45 percent portfolio A and 55 percent of portfolio B? Portfolio Average Retur

inn [45]

Answer:

The Jensen's alpha of a portfolio comprised of 45 percent portfolio A and 55 percent of portfolio B = 2.04 %

Explanation:

<em>Solution</em>

Given that:

Now,

The Jensen’s alpha of a Portfolio is computed by applying the formula below:

Jensen's alpha = Portfolio Return − [Risk Free Rate of Return + ( Portfolio Beta * (Market Rate of Return − Risk Free Rate of Return ) ) ]

For the information given in the question we have the following,

The Risk free rate of return = 3. 1%

In order to find the Jensen’s alpha we have to first get the following from the information given in the question :

1. Portfolio Return

2. Portfolio Beta

3.Market Rate of Return

Thus,

(A)Calculation of Portfolio Return :

The formula for calculation of Portfolio Return is given as:

E(RP) = ( RA * WA )+ ( RB * WB )

Where

E(RP) = Portfolio Return

RA = Average Return of Portfolio A ; WA = Weight of Investment in Portfolio A

RB = Average Return of Portfolio B ; WB = Weight of Investment in Portfolio B

For the information given in the question we have the following:

RA = 18.9 %, WA = 45 % = 0.45, RB = 13.2 %, WB = 55 % = 0.55

By applying the values in the formula we have

= ( 18.9 % * 0.45 ) + ( 13.2 % * 0.55 )

= 8.5050 % + 7.2600 % = 15.7650 %

(B). Calculation of Portfolio Beta:

Now,

The formula for calculating the Portfolio Beta is

ΒP = [ ( WA * βA ) + ( WB * βB ) ]

Where,

βP = Portfolio Beta

WA = Weight of Investment in Portfolio A = 45 % = 0.45 ; βA = Beta of Portfolio A = 1.92

WB = Weight of Investment in Portfolio B = 55 % = 0.55 ; βB = Beta of Portfolio B = 1.27

By Applying the above vales in the formula we have

= ( 0.45 * 1.92 ) + ( 0.55 * 1.27 )

= 0.8640 + 0.6985

= 1.5625

(C). Calculation of Market rate of return :

Now,

The Market Risk Premium = Market rate of return - Risk free rate

From the Information given in the Question we have

The Market Risk Premium = 6.8 %

Risk free rate = 3. 1 %

Market rate of return = To find

Then

By applying the above information in the Market Risk Premium formula we have

6.8 % = Market rate of Return - 3.1 %

Thus Market rate of return = 6.8 % + 3.1 % = 9.9 %

So,

From the following information, we gave

Risk free rate of return = 3.1% ; Portfolio Return = 15.7650 %

The Portfolio Beta = 1.5625 ; Market Rate of Return = 9.9 %

Now

Applying the above values in the Jensen’s Alpha formula we have

The Jensen's alpha = Portfolio Return − [Risk Free Rate of Return + ( Portfolio Beta * (Market Rate of Return − Risk Free Rate of Return )) ]

= 15.7650 % - [ 3.1 % + ( 1.5625 * ( 9.9 % - 3.1 % ) ) ]

= 15.7650 % - [ 3.1 % + ( 1.5625 * 6.8 % ) ]

= 15.7650 % - [ 3.1 % + 10.6250 % ]

= 15.7650 % - 13.7250 %

= 2.0400 %

= 2.04 % ( when rounded off to two decimal places )

Therefore, the Jensen's alpha of a portfolio comprised of 45 percent portfolio A and 55 percent of portfolio B = 2.04 %

7 0

3 years ago