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steposvetlana [31]
3 years ago
10

Why is diversification of investments important?

Business
1 answer:
faltersainse [42]3 years ago
3 0

Answer:

O It spreads the investor's risk over several types of investments

Explanation:

Diversification is the practice of spreading investments in different asset classes. It involves purchasing a variety of investment assets rather than a single asset.  Diversification spreads the risk associated with investments to the different categories of assets.

The main objective of diversifying is to minimize the risk.  Should a particular investment to move against expectations, the other assets help reduce the losses. The assets in a diversified investment are referred to as a portfolio.

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Answer: A microcomputer is a small computer that contains a microprocessor as its central processor.

Explanation:

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3 years ago
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You put $10000 in an account earning 5%. After 3 years, you make another deposit into the same account. Four years later (7 year
ikadub [295]

Answer:

money deposited after end of 3rd year is $4877.75  

Explanation:

given data

initial amount  = $10000

rate = 5%

time = 3 year

after 7 year account balance = $20000

solution

we consider here money deposited after end of 3rd year is = x

first we get here compounded amount after 3 years as

compounded amount = initial amount × (1+r)^{t}    ................1

compounded amount = 10000 × (1+0.05)^{3}

compounded amount = $11576.25

so at 7 year account balance is

account balance = ( compounded amount + x )  × (1+r)^{t} ....................2

$20000  = ( $11576.25 + x ) × (1+0.5)^{4}  

solve it we get

x =  $4877.75  

so money deposited after end of 3rd year is $4877.75  

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3 years ago
Suppose the different income levels are as follows (N'billions) : Y=100,120,125,140,80,115,145,150,166,200. Calculate the corres
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Cost allocation involves:_______.A. Identifying a cost driver for each cost to be allocated. B. Calculating an allocation rate f
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Answer:

d. all of the answers are correct

Explanation:

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3) to justify cost (e.g to justify an accepted bid).

For example, if you are to determine the amount of electricity consumed at a particular period, the number of units consumed determines the total cost to be paid for the electricity consumed. In such an instance, the number of units of electricity consumed is a Cost Driver.

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   Variable cost drivers can come in the form of hourly costs, costs per unit, or batch costs, among others.

   Cost drivers can be fixed costs, such as in the case of set-up costs.

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