Answer:
By definition, we know that Beta for market Portfolio is 1. By this, we need weighted average of J and K Beta as 1
1.38x + 0.93(1-x) = 1
1.38x + 0.93-0.93x = 1
0.45x = 0.07
x = 0.07/0.45
x = 0.16
So, we need 0.16 of J and 0.84 of K.
Weighted Average of J = 0.16 and K = 0.84.
Further Expected return of portfolio will be:
Weight Expected Return Expected Return of Portfolio
J 0.16 14.06 2.25
K 0.84 11 <u>9.24</u>
Total Portfolio Expected Return <u>11.49</u>
Answer: Option (b) is correct.
Explanation:
According to the theory of comparative advantage, a country has a comparative advantage in producing a commodity if the opportunity cost of producing that commodity in terms of other commodity is lower in that country as compared to the other country.
Hence, a country exports the commodity in which it has a comparative advantage and imports the commodity in which it has a comparative disadvantage because the opportunity cost of producing these commodities is higher than the other country.
Answer:
Direct material price variance= $658 favorable
Explanation:
Giving the following information:
Standard cost= $3.50 per pound.
During December, All Coronado purchased 4700 pounds of material for $15,792.
To calculate the direct material price variance, we need to use the following formula:
Direct material price variance= (standard price - actual price)*actual quantity
Actual price= 15,792/4,700= $3.36
Direct material price variance= (3.5 - 3.36)*4,700
Direct material price variance= $658 favorable
It can be said that Fruitlicious demonstrates Efficiency
<h3><u>
Explanation:</u></h3>
Efficiency correlates to the quality of your profession, which might involve building manufacturing with more limited waste, utilizing fewer resources or consuming smaller money. Improved efficiency can impede productivity and vice versa. Obtaining the correct sequence of productivity and efficiency assists you optimize your yield while reducing losses.
Added means to look at efficiency is the amount of gained hours of great quality productive product sorted by the number of work hours possible in a day. Essentially to expand manufacturing efficiency you want to create added output in the equivalent amount of time