1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
eduard
3 years ago
11

Stocks have a 12% expected return and 22% risk. Bonds have a 7% expected return and 10% risk. The expected return of a portfolio

comprised of 70% stocks and 30% bonds is: Group of answer choices
Business
1 answer:
inessss [21]3 years ago
7 0

Answer:

10.5%

Explanation:

Calculation to determine Expected return of portfolio

Using this formula

Expected return of portfolio = Ws*E(rs) + Wb*E(rb)

Where,

Expected return stock E(rs) = 12%

Expected return bond E(rb) = 7%

Weight of stock Ws = 0.70

Weight of bond Wb = 0.30

Let plug in the formula

Expected return of portfolio= 0.7*12 + 0.3*7

Expected return of portfolio = 10.5%

Therefore Expected return of portfolio is 10.5%

You might be interested in
Which is true for all types of partnerships?
Oksana_A [137]
The answer is D. Partnerships are liable to boundless obligation, which implies that each of the partners shares the risk and budgetary dangers of the business. Which can be off-putting for a few people. This can be countered by the arrangement of a restricted obligation organization, which profits by the upsides of constrained risk allowed to restricted organizations, while as yet exploiting the adaptability of the association show.
6 0
2 years ago
Panther Co. had a quality-assurance warranty liability of $350,000 at the beginning of 2021 and $310,000 at the end of 2021. War
Diano4ka-milaya [45]

Answer:B

Explanation: :)

7 0
3 years ago
Management of Wee Ones (WO), an operator of day-care facilities, wants the company's profit to be subdivided by center. The firm
m_a_m_a [10]

Answer:

The correct answer is $23,430.

Explanation:

According to the scenario, the given data are as follows:

Total actual revenue = $1,700,000

Irvine Center actual revenue = $561,000

Advertising cost = $71,000

So we can calculate the amount of advertising that would be allocated to the Irvine center by using following formula:

Advertising Cost allocated = (Irvine Center actual revenue × Advertising cost)   ÷ Total actual revenue

By putting the value, we get

= ($561,000 × $71,000)  ÷ ( $1,700,000)

= $23,430.

3 0
3 years ago
Roy dies and is survived by his wife, Marge. Under Roy’s will, all of his otherwise uncommitted assets pass to Marge. Based on t
tatiyna

Answer:

Explanation:

a.) R, M and M's sister A claims equivalent tenure in timberland worth $1.2 million. Despite the fact that A completed the first price tag, military conclusion is constrained to the degree of R's offer in Timberland. So military reasoning is $0.4 million (1/3 of $1.2 million)

Therefore, R's martial deduction is $0.4 million.

b.) Living arrangement worth $900,000 is claimed by R and M as occupants by the sum with right of survivor-ship. Despite the fact that R outfitted unique buy $450,000 ($900,000/2) will be remembered for Roy's gross domain and this sum speaks to the property that is given to M for reason for martial deduction.

In this way, R's martial deduction is $450,000

c.) Insurance policy on R's life is claimed by M and payable to her as the assigned recipient. It won't be remembered for net bequest of R and arrangement measure of $1 million isn't qualified for martial deduction. This is on the grounds that, martial deduction is permitted distinctly for property that is remembered for the perished companion's gross bequest.

Therefore, R's martial deduction is $0 million

d.)Insurance policy on R's life worth $500,000 possessed by R and M as the recipient. Despite the fact that the assigned recipient for protection arrangement on R's life is M (Roy's significant other), the sum is to be remembered for R's gross domain as it is possessed by R. This sum speaks to the property that is given to M for motivations behind martial deduction

Therefore, R's martial deduction is $500 million

e.) Dissemination from qualified pension plan of $1.6 million. Whole measure of $1.6 million will be moved to R's better half and it will be qualified for martial deduction

Therefore, R's martial deduction is $1.6 million

6 0
3 years ago
Each of the following independent events requires a year-end adjusting entry. Show how each event and its related adjusting entr
Tatiana [17]

Answer:

1. Prepaid insurance (Dr.) $6,300

  Cash (Cr.) $6,300

2. Cash (Dr.) $15,300

   Unearned Income (Cr.) $15,300

3. Purchases (Dr.) $1,750

   Accounts payable (Cr.) $1,750

   Cost of Goods Sold (Dr.) $1,620

   Ending Inventory (Dr.) $130

   Purchases (Cr.) $1,750

4. Prepaid office rent (Dr.) $6,300

   Cash (Cr.) $6,300

Explanation:

The adjusting entry is a journal entry recorded at end of accounting period to adjust events or transactions to comply with the accrual concept.

The closing entries are journal entries required to close a transaction or event in the period. The purpose is to follow matching concept of accounting.

7 0
3 years ago
Other questions:
  • _____ is short-term employment that may allow you to develop contacts that may help in finding a permanent job a. Part-time work
    9·2 answers
  • What does "embedding a video" mean?
    8·2 answers
  • Frank is a board member at Lofloy Greens Inc.,a publicly traded company.In addition to his duties on the board,Frank is also a f
    13·1 answer
  • When Randy, an electrician, accepted a job with Buren Construction, Randy signed the following agreement: "Upon termination of m
    5·1 answer
  • Nathan buys a new microwave for $200. The microwave’s label bears a disclaimer that the manufacturer is not liable for consequen
    8·1 answer
  • As randomly selected securities are combined to create a portfolio, the ________ risk of the portfolio decreases until 10 to 20
    5·1 answer
  • According to Karl Marx, capitalists really produced all wealth, and the laborers were the recipients of the wealth.
    7·1 answer
  • In the case of such a catastrophe like the one we are facing (corona
    14·1 answer
  • Assume real per capita GDP in North Midgar is $8,000 while in South Darlinia it is $2,000. The annual growth rate in North Midga
    10·1 answer
  • What methods can you use for setting the price? What tools are available for measuring the impact on your price decision?
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!