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Sedaia [141]
3 years ago
11

You own a portfolio that has $2,800 invested in Stock A and $3,250 invested in Stock B. The expected returns on these stocks are

14.7 percent and 9.3 percent, respectively. What is the expected return on the portfolio
Business
1 answer:
abruzzese [7]3 years ago
3 0

Answer:expected return on the portfolio=11.79%

Explanation:

Calculation of the expected return on the portfolio:

total weight =  $2,800  +$3,250 =$6,050

Portfolio expected return = weight of stock A*expected return on stock A + weight of stock B*expected return on stock B

= 2800/ 6,050 x 14.7%  + 3250 /6050 x 9.3%

0.4628 x 0.147 + 0.5372 x 0.093=

0.06803 + 0.04996

=0.1179 x 100

Portfolio expected return= 11.79% 0r rounded to 11.80%

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Answer:

The correct solution is "6.09%".

Explanation:

Given:

Nominal rate,

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As we know,

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By substituting the values, we get

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             =1.0609-1

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Charlie Chairs Inc., manufactures plastic moldings for car seats. Its costing system utilizes two cost categories, direct materi
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Answer:

Units transferred out = 760

Explanation:

If we assume that all units are completed in the order of arrival i.e (FIFO), then the units transferred out is the sum of the opening inventory and the units started and completed in the period. The units started and completed in the period is referred to fully-worked.

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The units transferred out = opening inventory + Fully-worked

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