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aleksandrvk [35]
3 years ago
8

Both a wife and her husband work in the airline industry. They are in their 40s and they have a high tax bracket and are concern

ed about their after tax rate of return. A meeting with their financial planner reveals they are primarily focused on long term capital gains and they will need at least a 9% to 11% average rate of return to meet their retirement goals. They desire a diversified portfolio and liquidity is not currently a major concern. If you had to choose from the list below which of the following asset allocations seems to best fit their situation?a. 10% money market; 40% long term bonds; 10% commodities; 40% high dividend paying stocksb. 0% money market; 60% long term bonds; 40% stocksc. 10% money market; 30% long term bonds; 10% commodities; 50% high dividend paying stocksd. 5% money market; 30% long term bonds; 5% commodities; 60% stocks, most with low dividends and high growth prospects
Business
1 answer:
Serjik [45]3 years ago
8 0

Answer: % money market; 30% long-term bonds; 5% commodities; 60% stocks, most with low dividends and high growth prospects (option D)

Explanation:

Since liquidity is not currently a major concern to the couple, investment in the money market can be low and also no investment is needed in the high dividend paying stocks.

Option A and C involve significant investment in the high dividend yielding stocks so they're ruled out. We are now left with Option B and D

Long term bonds usually pay less than the required rate that this couple is considering, therefore a significant amount must be invested in high yield return securities. This will make option D the right answer since it fulfils all the required objectives.

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stepladder [879]

Checks have several vital pieces of information, including

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5 0
3 years ago
If oligopolists engaged in some sort of collusion, industry output would be _____ and price would be _____ than under perfect co
TEA [102]

Answer:

If oligopolists engaged in some sort of collusion, industry output would be smaller_____ and price would be _higher____ than under perfect competition.

8 0
3 years ago
An example of a stressor at the group level is
Marta_Voda [28]

An example of a stressor at the group level is an excessive job demands. The Option A is correct.

<h3>What is a stressor in group?</h3>

Also known as an interpersonal demands, means the pressures created by other employees. A group related stressors does include some factors like conflicts, poor communication, unpleasant relationship as well as fear of being ostracized from the group as a valued member.

While working with a superior, peers or subordinates with whom one does not get along can be a constant source of stress. Some people can effectively deal with conflicts and misunderstandings and resolve issues as they arise. Many, some find it difficult to do this and build internal stresses for themselves.

The lack of social support from colleagues and poor interpersonal relationships can cause considerable stress as, most especially among employees with a high social need. Sometimes, an individuals try to avoid these stresses by remaining absent as frequently as possible and even start looking for new jobs.

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5 0
1 year ago
There are two ratios which are used to measure airline performance. one measures efficiency while the other measures equipment u
den301095 [7]

Operating ratio-measures the portion of operating revenue that goes to operating expenses, only revenue and expenses generated from passenger and freight transportation are considered

(operating expenses/operating revenue)*100

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All pilots should be interested in weight and balance control. The two changeable factors that can alter an aircraft's total weight and CG location are loading and fuel management, both of which are under the control of the pilot.

The owner or operator of the aircraft should guarantee that the pilots have access to current information and that the proper entries are made in the records when repairs or modifications are completed. The CG is altered as a result of equipment removal or addition.

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6 0
2 years ago
Cheshire Corporation purchases a machine for​ $125,000. It has an estimated salvage value of​ $10,000 and is expected to produce
densk [106]

Answer: <u><em>Depreciation for the first year = 17825</em></u>

Explanation:

Given:

Machine purchased for $125,000

Salvage value of​ $10,000

Output = ​100,000

First year of​ operation, Output = 15500

First, we'll evaluate depreciation per unit over the entire life of the machine:

i.e. Depreciation\ per\ unit = \frac{ Purchasing\ cost - Salvage\ value}{Total\ units\ produced}

Depreciation per unit = \frac{125000 - 10000}{100000}

<em>Depreciation per unit = 1.15</em>

Now, we'll compute the depreciation for the first year:

Depreciation for the first year = Depreciation per unit ×  Output (first year)

Depreciation for the first year = 1.15 × 15500

<u><em>Depreciation for the first year = 17825</em></u>

7 0
3 years ago
Read 2 more answers
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