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Karolina [17]
3 years ago
10

Fremont Enterprises has an expected return of 12 % and Laurelhurst News has an expected return of 24 %. If you put 56 % of your

portfolio in Laurelhurst and 44 % in​ Fremont, what is the expected return of your​ portfolio?
Business
1 answer:
Savatey [412]3 years ago
8 0

Answer:

     = 18.7%

Explanation:

<em>A portfolio is a collection of assets/ investment. The return on a portfolio is the weighted average of all the return of the individual assets weighted according to the percentage of total funds allocated to each assets.</em>

Expected return on portfolio:

E(R) =(  Wa*Ra) + (Wb*Rb)

  Wa   =   56%   ,   Wb = 100-56 = 44%

Ra = 12%, Rb = 24%

E(R) = (0.56*24%) + (0.44× 12%)

       = 18.7%

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A business in which the owners have little personal responsibility for the company’s debts and actions is called a
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I believe the answer is A.
7 0
3 years ago
g Texas Corporation purchases a piece of equipment on January 1 for $300,000 and the equipment has an expected useful life of te
Vikki [24]

Answer:

$108,000

Explanation:

For computing the accumulated depreciation for the end of the second year

First we have to find the depreciation rate which is shown below:

= One ÷ useful life

= 1 ÷ 10

= 10

Now the rate is double So, 20%

In year 1, the original cost is $300,000, so the depreciation is $60,000 after applying the 20% depreciation rate

And, in year 2, the depreciation is

=($300,000 - $60,000) × 20% = $48,000

So, the accumulated depreciation at the end of the second year is

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6 0
4 years ago
Question 3 Lara Beal allocates wealth between two periods: youth and old age. Currently (in her youth) she has $8,000 in cash. S
Gnesinka [82]

Answer:

The correct answer is "$9450".

Explanation:

Given:

Payoff from investment,

= $6000

Lending to bank,

= 8000-5000

= 3000

Now,

At 15% interest,

The amount to be received from bank will be:

= 3000\times (1+\frac{15}{100} )

= 3000(1+0.15)

= 3000\times 1.15

= 3450 ($)

hence,

In her old age, most she can assume will be:

= 6000+3450

= 9450 ($)

4 0
3 years ago
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