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3 years ago

11

A portfolio with a 21% standard deviation generated a return of 16% last year when T-bills were paying 5.5%. This portfolio had

a Sharpe ratio of ____.

1 answer:

EleoNora [17]3 years ago

6 0

Answer:

0.5

Explanation:

A portfolio has 21% standard deviation

The return is 16%

T-bills were paying 5.5%

Therefore the Sharpe ratio can be calculated as follows

= 16-5.5/21

= 10.5/21

= 0.5

Hence the Sharpe ratio is 0.5

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3 years ago

The following data from the just completed year are taken from the accounting records of Mason Company: Sales$658,000 Direct lab

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Answer:

<em>1. Prepare a schedule of cost of goods manufactured</em>

<u>schedule of cost of goods manufactured</u>

Direct labor cost $83,000

Raw Materials $133,000

Manufacturing overhead $202,000

<em>Add</em> Beginning Work In Process $5,900

<em>Less </em>Ending Work In Process ($20,500)

cost of goods manufactured $403,400

<em>2. Prepare a schedule of cost of goods sold</em>

<u>schedule of cost of goods sold</u>

Begining Finished goods $74,000

<em>Add</em> cost of goods manufactured $403,400

<em>Less</em> Ending Finished goods ($25,100)

<em>Add</em> Under- Applied Overheads $22,000

cost of goods sold $473,300

<em>3. Prepare an income statement.</em>

Sales $658,000

<em>Less</em> cost of goods sold ($473,300)

Gross Profit $184,700

<em>Less </em>Operating Expenses

Selling expenses ($106,000)

Administrative expenses ($46,000)

Net Income $ 32,700

Explanation:

<em>1. Prepare a schedule of cost of goods manufactured</em>

<u>Raw Materials Consumed in Production</u>

Begining Raw Materials Inventory $8,800

<em>Add</em> Raw material purchases $135,000

<em>Less </em>Ending Raw Materials Inventory ($10,800)

Raw Materials Consumed in Production $133,000

<u>schedule of cost of goods manufactured</u>

Direct labor cost $83,000

Raw Materials $133,000

Manufacturing overhead $202,000

<em>Add</em> Beginning Work In Process $5,900

<em>Less </em>Ending Work In Process ($20,500)

cost of goods manufactured $403,400

<em>2. Prepare a schedule of cost of goods sold</em>

Actual manufacturing overhead costs ($224,000) > Applied Manufacturing overhead($202,000)

<u>Under- Applied Overheads</u>

Applied Manufacturing overhead $202,000

Actual manufacturing overhead costs $224,000

Under- Applied Overheads $22,000

<u>schedule of cost of goods sold</u>

Begining Finished goods $74,000

<em>Add</em> cost of goods manufactured $403,400

<em>Less</em> Ending Finished goods ($25,100)

<em>Add</em> Under- Applied Overheads $22,000

cost of goods sold $473,300

<em>3. Prepare an income statement.</em>

Sales $658,000

<em>Less</em> cost of goods sold ($473,300)

Gross Profit $184,700

<em>Less </em>Operating Expenses

Selling expenses ($106,000)

Administrative expenses ($46,000)

Net Income $ 32,700

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4 years ago

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alexdok [17]

Answer:

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Explanation:

The null hypothesis, H₀ : μ = 2.7 billion

Alternative hypothesis, Ha : μ > 2.7 billion

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$\sigma = 0.55 billion$

n = 30

The observed test statistic,

$t_{o} = \frac{\bar{x}- \mu}{\frac{\sigma}{\sqrt{n} } }$

$t_{o} = \frac{2.85- 2.7}{\frac{0.55}{\sqrt{30} } }\\t_{o} = 1.494$

Degree of freedom = n-1 = 30 -1 = 29

Significance level = 0.05

For the critical value, we check the t - table at 0.05 significance level

$t_{crit} = t_{\alpha, df} = t_{0.05, 29} \\t_{crit} = 1.699$

$t_{0} = 1.494\\t_{crit} = 1.699$

Since $t_{0}$ , we will accept H₀

That is the mean total cash receipt is 2.7 billion and the colorado ranching is not expanding

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3 years ago