Answer:
Yes, you can be confident that the portfolio will not lose more than 30% of its value next year
Explanation:
In this question , the average return of portfolio is 12.5% and the standard deviation is 19.5%. It is estimated that there will be 30% loss next year. The confidence interval is 95%.
Range = Average return ± 2 x Standard deviation Low aid = 12.5% - (2 x19.5%) =12.5% -39% = -26.5%
High end = 12.5% +(2 x19.5%) =12.5%+39% = 51.5%
Thus, the low end is
26.5%
The range of return at 95% confidence interval is -26.5% to 51.5%
"Representative money<span> is an item such as a token or piece of paper that has no intrinsic value but can be exchanged on demand for a commodity that does have intrinsic value, such as gold, silver, copper, and even tobacco" Google.
</span>C) A check.
Answer: A.) $1,095
Explanation:
Bond value = $30,000
Rate = 7%
Period = 10 years
Issue price = $29,100
Bond value × rate :
30,000 × 0.07 = $2100
Semi annually:
$2100 / 2 = $1050
(Bond value - issue price) ÷ (period × 2)
($30,000 - $29,100) / (10 × 2)
$900 ÷ 20 = $45
$1050 + $45 = $1,095
Dividends= $ that people who bought stock in a company receive. Generally, these increase when the company is doing well.
Stock= becomes more expensive the better a company is doing and has been doing for a while because it is in higher demand.
I predict that the company's stock will rise because it is in higher demand based upon it's consistently doing well. Make sense?
Answer:
Answer:
$
Market value of shares (3,000,000 x $15) = 45,000,000
Market value of bonds (30,000,000 x $101/100) = 30,300,000
Market value of the firm 75,300,000
The correct answer is D
Explanation:
Market value of the firm is the sum total of market value of shares and market value of bond. The market value of each stock is equal to number of stocks issued multiplied by current market price of each stock.
Explanation:
