1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Daniel [21]
3 years ago
7

You bought Sumsung stock for $50 on April 1. The stock paid a dividend of $5 on July 1, and had a price of $53. It is now Oct. 1

, and the stock price is $52. Treasury bills yield 1%.
Required:
a. What was the arithmetic average quarterly return?
b. What was the standard deviation of quarterly returns?
Business
1 answer:
lisov135 [29]3 years ago
6 0

Answer:

a. 7.05%

b. 12.7%

Explanation:

a. The returns are:

First return July 1 = (Current price - Previous price + Dividend) / Cost price

= (53 - 50 + 5) / 50

= 16%

Second return Oct 1 = (52 - 53) / 53

= -1.9%

Arithmetic mean = (16 + (-1.9%)) / 2

= 7.05%

b. Variance = ((16% - 7.05%)² + (-1.9% - 7.05%)²)

= 160.205%

Standard deviation = √160.205

= 12.7%

You might be interested in
Assume that you will be opening a savings account today by depositing $100,000. The savings account pays 5 percent compound annu
Oksi-84 [34.3K]

Answer:

5000

Explanation:

100,000x5%= 5000

5000x4 years= 20,000x5%= 1000

5000x5=25,000x5%= 1250

1250+ 1000= 2250

R= 1750

5000-2250-1000= 1750

I might be wrong

7 0
1 year ago
From this partial advertisement: Used car $93.38 per month for 60 months Cash price $4,200 Down payment $50 a. Calculate the amo
ludmilkaskok [199]

Answer: The answer is as follows:

Explanation:

Given that,

Used car $93.38 per month for 60 months

Cash price = $4,200

Down payment = $50

(a) Amount Financed = Total Value (Cash Price) - Down Payment

                                   =  4200 - 50

                                   = $4150

(b) Finance Charge = Total payments - Amount Financed

                                = 93.38 × 60 - 4150

                                = 5602.8 - 4150

                                = $1452.8

(c) Deferred payment price = Down Payment + Total payments

                                             = 50 + 5602.8

                                             = $5652.8

8 0
2 years ago
On April 1, Townsley Company sold merchandise with a selling price of $10,000 on account to Trout Company, with terms 3/10, n/30
mamaluj [8]

Answer and Explanation:

The journal entry is shown below:

Cash $8,730

Sales Discount ($9,000 × 3%) $270

       To Accounts receivable $9,000 ($10,000 - $1,000)

Here cash and sales discount is debited as it increased the assets and discount while on the other hand the account receivable should be credited as it reduced the assets  

3 0
2 years ago
The market used to calculate the CPI is 3 units of pork and 4 unit of corn. In 2005, pork cost $20 per pound and corn cost $12 p
Ede4ka [16]

Answer:

<em>The answer will be 136.11 </em>

Explanation:

Because since the cost of the basket in 2005 is = (3x20) + (4 x 12) = 108; And the cost of basket in 2006 is = (3x25) + (4 x 18) = 147

To calculate the CPI,

  • <em>Put a sampling of product prices from a previous year. </em>
  • <em>Then, put the current prices of the same items together. </em>
  • <em>Divide the current total prices by the old prices and then subtract the sum by 100.</em>

The Consumer Price Index (CPI) for 2006 = <em>(147/108) x 100 = 136.11</em>

7 0
3 years ago
A company has retained earnings of $94,000 as of December 31, 2014. The Pro-forma income statement projects net income of $22,00
GREYUIT [131]

Answer:

$46,000.

Explanation:

To know the retained earnings at the end of 2015, we first need to calculate how much dividend the company will pay to its shareholders then add up the net income in 2015 to the remaining of retained earning at the end of 2014 (after paying 2014's dividend at Mar 2015)  to get retained earnings at the end of 2015.

Total dividend in on Mar 2015 = 0.7 x 100,000 = 70,000

Retained Earning at the end of 2015 = 94,000 - 70,000 + 22,000 = 46,000.

5 0
3 years ago
Other questions:
  • A company borrowed $10,000 from the bank at 5% interest. The loan has been outstanding for 45 days. Demonstrate the required adj
    12·1 answer
  • You have just been promoted at work and you are now responsible for all marketing communication through the different Internet c
    10·2 answers
  • Suppose Alphonso’s town raised the price of bus tickets to $1 per trip (while the price of burgers stayed at $2 and his budget r
    15·1 answer
  • A(n) ___________________ is a state-chartered legal entity with authority to act and to have liability separate from its owners.
    11·1 answer
  • What two things do you consider when evaluating the time value of money? (13 points)
    9·1 answer
  • On January 2, 2017, Vaughn Inc. sells goods to Geo Company in exchange for a zero-interest-bearing note with face value of $10,1
    11·1 answer
  • The explicit forecast period must be long enough for the company to reach a steady state the point at which we calculate the con
    12·1 answer
  • A lawyer cannot represent both the plaintiff and the defendant because of
    10·1 answer
  • 1. What area of law protects the sale of a home?
    15·1 answer
  • Question 2 of 20 what was the impact of mao zedong's great leap forward in china? o a. mao's oppression of urban workers allowed
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!