Answer:
Portfolio expected return = 0.092225 or 9.2225%
Explanation:
The expected portfolio return is a function of the weighted average of the individual stocks' returns that form up the portfolio. The expected return on the portfolio containing two stocks can be calculated as follows,
Portfolio Expected Return = wA * rA + wB * rB
Where,
- w represents the weight of stocks
- r represents the return from each stock
To calculate the weight of each stock in the portfolio, we first need to calculate the total investment in the portfolio.
Total Investment = 4740 + 3260 = 8000
Portfolio expected return = 4740/8000 * 8% + 3260/8000 * 11%
Portfolio expected return = 0.092225 or 9.2225%
Answer:
Behavioral.
Explanation:
A market segment is a portion of a large market in which the individuals, groups or organizations share one or more characteristics that cause them to have relatively similar products needs.
A market segment consist of a group of customers that share a similar set of needs and wants.
Are four categories of segmentation:
-Geographic
-Demographic
-Psychographic
-Behavioral. Segmentation on the basis of use occasion, user status. The evaluation of behavior in terms of the customer/prospect’s behavior relative to your company, product, or service
Answer:
sole proprietorship
Explanation:
A sole proprietorship is the most common form of business organization. It's easy to form and offers complete control to the owner
Answer:
b. $6,600,000
Explanation:
The computation of the fee is shown below:
= Annual management fee + performance management fee
where,
Annual management fee = $400 million × 0.01 = $4 million
And, the performance management fee
= Incentive percentage × hedge fund × excess return
= 20% × $400 million × 3.25%
= $2.6 million
The excess return is
= {($445 million - $400 million) × $400 million - 8%}
= 11.25% - 8%
= 3.25%
So, the fee is
= $4 million + $2.6 million
= $6.6 million or $6,600,000
