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nataly862011 [7]
2 years ago
12

You invested 50% of the wealth in stock A and the remaining 50% in stock B. The expected rates of returns on A and B are given b

elow: Year Expected return on A Expected return on B 2000 14% 16% 2001 15% 17% 2002 16% 18%2003 17% 19%Find the standard deviation of the portfolio. A. 0.955%.B. 1.291%.C. 1.697%.D. 2.124%.E. 2.890%.
Business
1 answer:
tresset_1 [31]2 years ago
7 0

Answer:

B. 1.291%

Explanation:

The computation of the standard deviation is shown below;

= 2000 + 2001 + 2002 +  2003

= 0.5 × 14% + 0.5 × 16% + 0.5 × 15% + 0.5 × 17% + 0.5 × 16% + 0.5 × 18% + 0.5 × 17% + 0.5 × 19%

= 15% + 16%  + 17% + 18%

= stdev( 15% + 16%  + 17% + 18%)

= 1.291%

Hence, the correct option is b.

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The language of price controls Suppose that, in a competitive market without government regulations, the equilibrium price of mi
drek231 [11]

Answer:

Price floor binding

b. price ceiling binding

price floor and binding

Explanation:

A price floor is when the government or an agency of the government sets the minimum price of a product. A price floor is binding if it is set above equilibrium price.

Price ceiling is when the government or an agency of the government sets the maximum price for a product. It is binding when it is set below equilibrium price.

The minimum price of milk is above equilibrium price. So, it is a binding price floor

The maximum price of milk is below equilibrium price. It is binding price ceiling

If teenagers can't find jobs due to minimum wages law. It means that the minimum wage must be above equilibrium price. This is because it is when price is above equilibrium price that supply of labour outstrips demand. So, it is a binding price floor

8 0
3 years ago
The cost to manufacture one unit of Rinker Audio Products' bestselling hearing aid, the Magnifier, is $87.50. The CFO of the com
padilas [110]

Answer:

d. economies of scale

Explanation:

Based on the information provided within the question it can be said that this concept is known as an economy of scale. Like mentioned in the question this concept states that as a company scales their operation, the cost of each input unit decreases as their output or production increases, Thus granting the company a cost advantage. As is happening in this scenario.

4 0
3 years ago
As mentioned in the video, the US produces an annual "List of Goods Produced by Child Labor or Forced Labor." How effective do y
lina2011 [118]

Answer and Explanation:

By publishing the "List of Goods Produced by Child Labor or Forced Labor" the American government is able to raise awareness among the population that, although child labor is something inconceivable in American society, it still happens with great intensity in various places around the world. This allows the population to become aware of this situation and to stop buying products produced by companies that finance and allow child labor to happen. When they stop using these products, companies suffer a decrease in demand, which can cause significant changes in the production and in the lives of children who need to work.

While consumer pressure at companies that allow child labor is effective, pressure from political and commercial authorities is more effective in bringing about change and ensuring the protection of children, as these authorities can promote severe punishments for those who allow this to happen.

7 0
2 years ago
New Furniture. Penny purchased $3,000 worth of furniture from Bob's furniture shop. Through an arrangement with Bob, Penny finan
Vlada [557]

Answer:

Please consider the following explanation.

Explanation:

Bob is correct in this case as Penny didn't make a claim that the goods were non-conforming. Penny is incorrect. Since there was no claim of non conformance, Bob doesn't have to refund the $3.000.

8 0
3 years ago
Assuming a 360-day year, when a $20,000, 90-day, 5% interest-bearing note payable matures, total payment will be
solong [7]

Answer:

total payment will be $21,000.

Explanation:

The Payment at maturity will include, the Principle amount (amount borrowed) and the Interest that accrued over the period of the note payable.

<u>Total Payment Calculation :</u>

Principle amount            = $20,000

Interest ($20,000 × 5%) =    $1,000

Total Payment                =  $21,000

7 0
3 years ago
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