The gross domestic product is answer
Answer:
This is an example of <u>"arbitration".</u>
Explanation:
When someone resolve the disputes outside the court, and that person is the third party who is solving the dispute of two parties, this process is known as arbitration. As in the given scenario Dr, hamrick is hired to resolve the disputes of the employees of the company, so this is the example of the process of arbitration.
Answer:
D. The threat of takeovers tends to reduce potential conflicts between stockholders and managers.
Explanation:
As with the threat of takeover, there comes the risk of losing control, power, monetary benefits, the stockholder's tend to agree with managers, and the manager's tend to agree with stockholders.
As both aims for no takeover of the company, both work in for each other, agreeing to the suggestions placed.
There is no dis-regard to any of the suggestions paid by any of the party. This threat actually creates moral harmony and unity among stakeholders and management.
Therefore, correct answer is:
D. The threat of takeovers tends to reduce potential conflicts between stockholders and managers.
Answer: ER(P) = ERX(WX) + ERY(WY)
16 = 13(1-WY) + 9(WY)
16 = 13 - 13WY + 9WY
16 = 13 - 4WY
4WY = 13-16
4WY = -3
WY = -3/4
WY = -0.75
WX = 1 - WY
WX = 1 - (-0.75)
WX = 1 + 0.75
WX = 1.75
The amount to be invested in stock Y = -0.75 x $106,000
= -$79,500
The Beta of the portfolio could be calculated using the formula:
BP = BX(WX) + BY(WY)
BP = 1.14(1.75) + 0.84(-0.75)
BP = 1.995 - 0.63
BP = 1.365
Explanation: The expected return of the portfolio is equal to expected return of stock X multiplied by the weight of stock X plus the expected return of stock Y multiplied by weight of security Y. The weight of security Y is -0.75. The weight of security X is equal to 1 - weight of security Y. Thus, the weight of security X is 1.75 since the weight of security Y is negative. The amount to be invested in security Y is -0.75 x $106,000, which is equal to -$79,500
The Beta of the portfolio equals Beta of stock X multiplied by weight of stock X plus the Beta of stock Y multiplied by weight of stock Y. The weights of the two stocks have been obtained earlier. Therefore, the Beta of the portfolio is 1.365.
