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kumpel [21]
3 years ago
9

Niles is making an investment with an expected return of 12 percent. If the standard deviation of the return is 4.5 percent, and

if Niles is investing $100,000, then what dollar amount is Niles 90 percent sure that he will have at the end of the year? (Do not round intermediate computations.)
Business
1 answer:
Dmitriy789 [7]3 years ago
5 0

Answer:

$104,597.5

Explanation:

Given:

Expected return = 12%

Standard deviation on return = 4.5%

Amount invested = $100,000

Confidence level = 90%

Now,

For the 90% confidence level the z score is 1.645

Therefore,

the minimum percentage gain at the end of year will be

= mean(i.e the expected return) - (z × Standard deviation)

= 12% - 1.645 × 4.5%

= 12% - 7.4025%

= 4.5975%

Thus, 4.5975% of initial amount = \frac{4.5975}{100}\times\$100,000

= $4,597.50

Hence,

Final amount = $100,000 + $4,597.50

= $104,597.5

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ra1l [238]

Answer:

The answer is "The last choice"

Explanation:

While comparing 2 assets or portfolio management, the risk of each portfolio and the rates of return of each portfolio should be taken into consideration. Whether the same danger is in the two assets. One should be preferred with both the higher return and one from the lowest risk should be recommended unless the two have the same rate of return. Portfolio A consequently either has a higher return and an at least as low fluctuation as B, or even lower volatility as well as an anticipated return at least as strong as B.

7 0
3 years ago
Examine the equal opportunity laws of another country, not the United States. Are the laws in other countries as much a concern
ira [324]

Answer:

The equal opportunity laws of another country, not the United States is discussed below in details.

Explanation:

An equal opportunity system is a certificate that declares what measures a company takes to eliminate and stop discrimination in the workplace.

The United Kingdom employment equality law is an organization of law that legislates against prejudice-based activities in the workplace.

The prime legislation is the Equality Act 2010, which condemns discrimination in passage to education, government services, private services, and goods, or assumptions in addition to employment.

5 0
3 years ago
ccording to the U.S. Bureau of Labor Statistics, there were chefs/head cooks employed in the United States in and food service m
Rufina [12.5K]

Answer:

  • Food service managers are facing a larger percent decrease at 3.31%

Explanation:

The percentage decrease in chefs/head cooks is:

= (100,600 - 99,800) / 100,600

= 0.795%

= 0.8%

Percentage decrease for food service managers is:

= (320,600 - 310,000) / 320,600

= 3.31%

7 0
3 years ago
Discuss the tradeoffs between fiber-optic and satellite communication in terms of costs, signal capacity, signaling method, inte
mylen [45]

Answer:

Explanation:

I will split this answer into two options...

Fiber Optic communications work by sending data through beams of light through a series of fiber cables. This allows for data transfer at incredibly high speeds and with an almost non-existent probability of data loss. Since cables need to be connected from one end-point to another this form of communication becomes more expensive and the capability of reconfiguration becomes incredibly difficult. The likelihood of failure is also very low due to the nature of the technology.

Satellite communication sends data wirelessly by beaming the data to satellites and then back down to the destination. This allows for data to be transferred worldwide but runs into the risk of interference, data loss, signal loss etc. Costs are much cheaper than Fiber Optics due to the lack of wiring. Multipoint capabilities are high since endpoints can be placed anywhere with a clear line of sight to the sky, which also means that reconfiguration capabilities are high as well.

5 0
3 years ago
Suppose that there are no storage costs for crude oil and the interest rate for borrowing or lending is 5% per annum. How could
mario62 [17]

Answer:

$4.50

Explanation:

In order to make a profit from the futures contracts, it would be appropriate to take a long position in the  June futures contract(buy) and take a short position in the December futures contract.

The investor would borrow $60 today which would necessitate paying back $60 plus a half-year in interest payment.

loan repayment=$60*(1+5%/2)=$ 61.50  

In December, sell crude oil at $66 and repay the loan principal and interest

profit=$66-$61.50=$4.50

5 0
3 years ago
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