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stiks02 [169]
3 years ago
6

Now we will focus on Risk in a Portfolio Context.

Business
1 answer:
ololo11 [35]3 years ago
8 0

Answer:

See explanation below

Explanation:

Correlation Coefficient - The degree of the relationship between two variables.

Correlation - The tendency of two variables to move together.

Capital Asset Pricing Model - This represent the return that reflects risk remaining after diversification.

Market Portfolio - A portfolio consisting of all stocks.

Expected Return on a Portfolio - This represents the weighted average of the expected returns on individual components.

Market Risk Premium - The difference between the market rate of return and the risk free rate

Beta - The variable that shows the extent to which a stock’s return moves up or down with the market.

S&P 500 is empirically used to measure Beta

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Firms HL and LL are identical except for their financial leverage ratios and the interest rates they pay on debt. Each has $10 m
Bas_tet [7]

Answer:

0.1125 or 11.25% for each firm

Explanation:

Given that,

Each has $10 million in invested capital,

$1.5 million of EBIT

25% federal-plus-state tax bracket

ROIC for LL:

= [EBIT × (1 - tax rate)] ÷ invested capital

= [1.5 × (1 - 25%)] ÷ 10

= 0.1125 or 11.25%

ROIC for HL

= [EBIT × (1 - tax rate)] ÷ invested capital

= [1.5 × (1 - 25%)] ÷ 10

= 0.1125 or 11.25%

Therefore, the return on invested capital (ROIC) for each firm is 11.25%

6 0
3 years ago
Which of the following are characteristics of productive conflicts
ioda

Answer:

using I-language, focusing on issues and critically evaluating ideas

Explanation:

"Productive conflict" refers to giving both parties who have varying opinions a chance to speak their arguments or positions. The goal of this is for both parties to arrive at a resolution<em> in the most graceful way as possible.</em>

Using "I-language" allows the person to be heard without asserting aggressiveness. It doesn't lead to defensiveness, thereby reducing the other side from retaliating.

"Focusing on issues" allows the focus to be centered on what matters the most. This allows both parties to concentrate and deal with the issue properly.

"Critically evaluating ideas" allows each party to come up with a reasoned judgement and analyze the opinion of the other person. <u>Both positive and negative side</u> should be addressed in order for the conflict to be productive.

5 0
3 years ago
In the context of the Situational Leadership model which of the following was defined as the extent to which a leader spells out
loris [4]

The extent to which a leader explains their roles and obligations to a person or group is known as task behavior. Giving instructions on what to do, how to do it, when to do it, and where to do it is a part of this conduct.

<h3>The definition of situational leadership is which of the following?</h3>

Situational leadership is the practice of adapting your management style to the needs of the team or specific team members in each unique situation or assignment. Paul Hersey and Ken Blanchard established the Situational Leadership Theory in 1969.

<h3>Which four contextual factors influence leadership?</h3>

Every leader should be aware of the four key elements of leadership: the led, the leader, the situation, and the communication. When exercising leadership, all four criteria must constantly be taken into account.

To know more about behavior visit:-

brainly.com/question/8871012

#SPJ4

5 0
1 year ago
What job can you get with health science degree?
nirvana33 [79]
Graduates who majored in health sciences have<span> many </span>career<span> options from which to choose. Potential areas of </span>employment<span> for graduates include marketing, management, and education. Some of the </span>career options may include medical laboratory technician, physical therapist, and diagnostic medical technologist.

Hope this helps!
4 0
3 years ago
Which of the following is an advantage of the mall-intercept interview method? the interviewer can explain complex questions and
max2010maxim [7]

Answer:

The interviewer can explain complex questions and show visual aids if needed

Explanation:

The mall-intercept interview method is a technique in which people that are visiting a mall are stopped to ask them questions. This method allows to give detail explanations if people don't understand the questions, visuals can be used and it is easier to convince someone to participate in it when compare to other methods like phone interviews. According to this, the answer is that the advantage of the mall-intercept interview method is that the interviewer can explain complex questions and show visual aids if needed.

4 0
3 years ago
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