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Vsevolod [243]
3 years ago
11

The following data are available relating to the performance of Monarch Stock Fund and the market portfolio: Monarch Market Port

folio Average return 16% 12% Standard deviations of returns 26% 22% Beta 1.15 1.00 Residual standard deviation 1% 0% The risk-free return during the sample period was 4%. Calculate Treynor's measure of performance for Monarch Stock Fund.a. 1.00% b. 2.80% c. 44.00% d. 50.00%
Business
1 answer:
Murljashka [212]3 years ago
8 0

Answer:

b. 2.80%

Explanation:

Calculation for the measure of performance for Monarch Stock Fund

Using this formula

Measure of performance= Monarch Average return-[risk-free return+ Monarch Beta (Market Portfolio Average return-risk-free return)]

Let plug in the formula

Measure of performance=16% - [4% + 1.15 (12% - 4%)]

Measure of performance=2.80%

Therefore the measure of performance for Monarch Stock Fund will be 2.80%

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Karim and Rashida Sultan are filing a joint federal return. They have the following investment income: Wells Fargo Bank CD, $720
WINSTONCH [101]

Karim and Rashida Sultan are filing a joint federal return. They have the following investment income $597 Frankfort Mutual Fund dividends, $283 Credit Union dividends. The amount of total taxable dividends reported on Schedule B is: $1,706.

Total taxable dividend=Craft Inc. dividends + Frankfort Mutual Fund dividends+ Credit Union dividends

Where:

Craft Inc. dividends=$826

Frankfort Mutual Fund dividends=$597

Credit Union dividends=$283

Let plug in the formula

Total taxable dividend= $826+$597+$283

Total taxable dividend=$1,706

Inconclusion if Karim and Rashida Sultan are filing a joint federal return. They have the following investment income $597 Frankfort Mutual Fund dividends, $283 Credit Union dividends. The amount of total taxable dividends reported on Schedule B is: $1,706.

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brainly.com/question/20345678

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2 years ago
There are two nations that, using all of their resources, both produce lemon drops and boxes. Nation A can produce either 300 le
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Answer:

I drew the production possibilities frontier curve for both nations, A and B, and attached it.

Explanation:

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3 years ago
Shelton, Inc., has sales of $20 million, total assets of $18.2 million, and total debt of $9.1 million. Assume the profit margin
Verizon [17]

Answer:

$1,800,000

Explanation:

Shelton incorporation has sales of $20,000,000

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Total debt is $9.1 million

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Therefore the company net income can be calculated as follows.

= sales × profit margin

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= 20,000,000 × 0.09

= 1,800,000

Hence the company net income us $1,800,000

3 0
3 years ago
Developing the cash flow for each alternative in a study is a pivotal, and usually the most difficult, step in the engineering e
Volgvan

Answer:

The concept of equivalence, also known as economic equivalence, describes the reduction of a series of cash inflows (benefits) and cash outflows (costs) to a single point in time, using a single interest rate, which enables the cash flows to be compared or equated.  This implies that while the amounts and timing of the cash flows (both inflows and outflows) may differ, an appropriate interest rate, factoring in the time value of money, will cause one set to be equal to the other.  Therefore, to establish economic equivalence, series of cash flows that occur at different points in time must be equalized using a single interest rate through present value calculations.

Explanation:

The concept of equivalence describes a combination of a single interest rate and the idea of the time value of money.  This combination helps to determine the different amounts of money at different points in time that are equal in economic value, such that a person would not hesitate to trade one for the other.

For example, if the interest rate is 10% in Year 1 and in Year 2 and you are to be paid $1,000 in Year 1, it will not make any difference to you if you are paid $1,100 in Year 2.  This is because, given the prevailing interest rate of 10%, the value you receive in Year 1 and Year 2 are equivalent.

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3 years ago
Suppose the marginal cost of the 1st hour of talking on the phone is $50, the marginal cost of the 2nd hour is $75, and the marg
Nutka1998 [239]

Answer:

$230

Explanation:

Data given in the question

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We simply added the marginal cost of all three hours in order to determine the total cost

5 0
3 years ago
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