Answer:
Portfolio SD = 0.18439 or 18.439%
Explanation:
The standard deviation of a stock or a portfolio is the measure of the total risk contained in the stock or portfolio. Risk can be defined as the volatility of the stock returns. To calculate the standard deviation of a two stock portfolio, we use the attached formula.
If the weight of stock x is 40%, the weight of stock y will be 1 - 40% = 60%
SD = √(0.4)^2 * (0.35)^2 + (0.6)^2 * (0.15)^2 + 2 * 0.4 * 0.6 * 0.25 * 0.35 * 0.15
SD = 0.18439 or 18.439%
Answer:
See below
Explanation:
Given the above information, the average debtor days is computed as seen below.
= Total receivables / Credit sales × 365
Total receivables = $246,000
Credit sales $2,430,000
Then,
Average debtor days
= $246,000 / $2,430,000 × 365
= 36.95 days
Hence, it would take 36.95 days on the average for credit customers to pay off their debts during this past year
Answer:
D. 2.97
Explanation:
The net operating asset turnover ratio is used to measure the efficiency of operating assets and to determine how well these assets are used to generate sales. The assets that are tested here are operating assets that are those assets which are required to run the day-to-day operations of the business. For instance, Property, plant, and equipment, inventory, and cash etc. Investments and unutilized assets do not fall under this category.
Here are are required to calculate the net operating asset turnover ratio, which is calculated as follows:
Net operating asset turnover = Net sales / Net operating assets
⇒ Net operating asset turnover for 2016 = 117,351 m / 39,502 m = 2.97.
It means that for each dollar invested in the operating assets generates $2.97 of revenue.
Answer:
a would be the answer for the question
