Answer: BP = BD(WD) + BE(WE)
1 = 0.86(1-WE) + 1.39WE
1 = 0.86-0.86WE + 1.39WE
1 = 0.86 + 0.53WE
-0.53WE = -0.14
0.53WE = 0.14
WE = 0.14/0.53
WE = 0.2641509434
WD = 1 - WE
WD = 1 - 0.2641509434
WD = 0.7358490566
The dollar amount of investment in stock D = 0.7358490566 x $215,000
= $158,207.54
Explanation: The beta of the portfolio is 1, which corresponds to the beta of the market. The beta of the portfolio equals beta of each stock multiplied by the percentage of fund invested in each stock(weight). The weight of stock D is equal to 1 - weight of stock E. Therefore, we need to make weight of stock E the subject of the formula by solving the problem mathematically and collecting the like terms. The weight of stock E is 0.2641509434. The weight of stock E will be subtracted from 1 so as to obtain the weight of stock D, which is 0.7358490566. The dollar amount of stock D equal to $215,000 multiplied by 0.7358490566, which is $158,207.54.
Answer:
$13,290.89 and $15,734.26
Explanation:
In this question we have to use the Present value function which is shown on the attachment below:
In the first case
Provided that
Future value = $0
Rate of interest = 12% ÷ 12 months = 1%
NPER = 48 months
PMT = $350
The formula is shown below:
= PV(Rate;NPER;PMT;FV;type)
So, after solving this, the present value is $13,290.89
In the second case
Provided that
Future value = $0
Rate of interest = 12% ÷ 12 months = 1%
NPER = 60 months
PMT = $350
The formula is shown below:
= PV(Rate;NPER;PMT;FV;type)
So, after solving this, the present value is $15,734.26
<span>Assuming that we consider the standard workday of eight hours, each part would take 18.75 minutes per part completion. In order to complete 1,250 parts, it would take 8.33 days to complete. In order to complete the 1,250 parts, the manufacturer would have to create at least eight work stations to meet the daily demand.</span>
Answer:
Letter A is correct.<em> Complementary product pricing.</em>
Explanation:
Organizations use the strategy of adopting a complementary product pricing to increase the total profit of a product group.
This strategy is used when the company sells products that are complementary, ie the use of one is complemented by the use of the other, so the company substantially decreases the price of a product, usually just to cover costs, and guarantees gains from a product with a high price and very high profit margin.
The benefits added to the complementary price of a product are market gain, competitors' entry barriers and retention and attraction of new consumers.
Answer:
I ,II and IV
Explanation:
Mortgage backed securities are either a claim for equity in a pool of mortgages, or a duty secured by a pool. Such claims reflect home loan securities. Loans borrow from mortgage lenders and then sell bundles of those loans on the resale market.
Specifically, once those loans are paid off, they sell their claim to the mortgage cash inflows. The issuer of the mortgage needs to maintain the loan, receiving principal and interest payments, and transfers those payments on to the mortgage borrower.
Therefore according to the given situation the correct answer is I, II, IV