Answer:
1.10
Explanation:
The computation of portfolio's beta is shown below:-
= Stock A Beta × Invested in Stock A ÷ Total value + Stock B Beta × (Total value - Invested in Stock A) ÷ Invested in Stock A
= 0.75 × $47,500 ÷ $100,000 + 1.42 × ($100,000 - $47,500) ÷ $100,000
= 0.75 × $47,500 ÷ $100,000 + 1.42 × $52,500 ÷ $100,000
= 0.75 × 0.475 + 1.42 × 0.525
= 0.35625 + 0.7455
= 1.10175
or
= 1.10
Therefore for computing the portfolio beta we simply applied the above formula.
Answer:
5.32%
Explanation:
The computation of the coupon rate on the bonds is shown below:
As we know that
Current price = Annual coupon × Present value of annuity factor(6.1%,8 ) + $1,000 × Present value of discounting factor(6.1%,8)
$952 = Annual coupon × 6.18529143 + $1,000 × 0.622697222
Annual coupon is
= ($952 - 622.697222) ÷ 6.18529143
= $53.24
Now
Coupon rate is
= Annual coupon ÷ Face value
= $53.24 ÷ $1,000
= 5.32%
Working notes:
1. Present value of annuity is
= Annuity × [1 - (1 + interest rate)^-time period] ÷ rate
= Annual coupon × [1 - (1.061)^-8] ÷ 0.061
= Annual coupon × 6.18529143
And,
2.Present value of discounting factor is
= $1,000 ÷ 1.061^8
= $1000 × 0.622697222
Answer:
The correct option is D) The design of the study suffers from selection bias.
Explanation:
In research, Selection Bias occurs when the researcher decides who the respondents are or those who are being evaluated or studied.
Every research ought to be designed in such a way that the respondents are selected at random.
In the information provided, the respondents were selected from a group of people who on a balance of probability were already inclined to decline because it was a list of dissatisfied customers. The chances of them declining to respond or responding with a negative were higher than the chances of them indicating that they would buy and this defeats the purpose of the research. The research ought to have also included a sample of respondents who didn't have the product, who had enjoyed the services of the company and were content, those who didn't even know what the product did until they got the survey.
That way holistic information can be obtained from the research about how different sets of people will react and not just those who are already dissatisfied with the company's product(s).
Some of the ways to avoid selection bias in research are:
- To employ the use of random techniques selecting sample sets from populations.
- To check that the traits or characteristics of the larger population are well represented in the samples selected
Cheers
Aspiring entrepreneurs can go to the internet, experienced entrepreneurs, Chambers of Commerce, Small Businessn Administration (SBA), college/university, or the community to get their questions answered. Hope this helps.
Answer:
a. Developing a robust marketing program to promote the social justice elements of the business and gain insights into consumer purchasing behavior on the website
Explanation:
In order to sustain the business, the entrepreneur should create a robust marketing program in which he is able to promote the components of social justice and also the behavior of the consumer on the website so that he gets to know how much people are active in his website, what are the problem people are facing, etc
Hence, the correct option is a
