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Dmitry_Shevchenko [17]
3 years ago
7

Consider two perfectly negatively correlated risky securities A and B. A has an expected rate of return of 10% and a standard de

viation of 16%. B has an expected rate of return of 8% and a standard deviation of 12%. The risk-free portfolio that can be formed with the two securities will earn a(n) _____ rate of return.
Business
1 answer:
Studentka2010 [4]3 years ago
7 0
I’m sorry for making it happen again but it’s not like that
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The Sedgwick Company estimates sales of a new product at 5,000 units and $3.00 per unit. Management feels the sales quantity is
Soloha48 [4]

Answer:

B) $12,825

Explanation:

In order to calculate the worst case scenario of sales first we need to calculate the worst case for sales of units.

The Company estimates that 5,000 units will be sold with a 10 percent plus-or-minus range. So, let calculate the worst case for the sale of units, in this case being 90% of the 5,000 unit estimate. Calculate 90% of 5,000, and this gives us 4,500 units as the worst case scenario.

To calculate the the worst case scenario for price, lets use the $3.00 per unit estimated by the Company, and apply the same concept, however, taking into account that sales price has a 5 percent plus-or minus range. So we caclulate %95 of $3.00, and this gives us $2.85 as our worst case scenario for price.

Now, we take our worst case scenario for amount of units and price:

4,500 units x $2.85 = $12,825

$12,825 is the total dollar amount for the worst case scenario of this product.

5 0
3 years ago
A fire has destroyed a large percentage of the financial records of the Inferno Company. You have the task of piecing together i
oee [108]

Answer:

11.11%

Explanation:

The computation of the return on assets is given below:

But before that following calculations need to be done

Total assets = Total debt ÷ Total debt ratio

= $657,000 ÷ 0.31

= $2,119,354.839

Total equity = Total Assets - Total Debt

= $2,119,354.839 - $657,000

= $1,462,354.839

Net profit = Total equity × Return on equity

= $1,462,354.839 × 0.161

= $235,439.129

And, finally

ROA = Net profit ÷ Total Assets

= $235,439.129 ÷ $2,119,354.839

= 11.11%

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2 years ago
What shows the quantities of products demanded at each price by all consumers in a market?
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A market demand schedule
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The answer is C: chronological (because it pertains to an order and can involve history. 
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What is the maximum number of withdrawals per month for a money market account?
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The answer should be 6. Six
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