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
castortr0y [4]
2 years ago
8

A fund has a Beta of 1.25, Standard Deviation of 7%, and an expected return of 12%. If the risk free rate is 2%, calculate the T

reynor Index.
Business
1 answer:
elixir [45]2 years ago
7 0

Answer:

the Treynor Index is 0.08

Explanation:

The computation of the Treynor Index is shown below:

We know that

Treynor Index is

= (Portfolio return - risk free rate of return) ÷ beta

= (12% - 2%) ÷ 1.25

= 0.08

Hence, the Treynor Index is 0.08

Basically the above formula should be applied for the same

You might be interested in
Which of the following goods is nonrival?
arsen [322]
A tuna in the ocean
6 0
3 years ago
Suppose that there is asymmetric information in the market for used cars. Sellers know the quality of the car that they are​ sel
zepelin [54]

Answer:

$22,500

Explanation:

Chance of getting low quality car = 50%

Chance of getting high quality car = 50%

Cost of low quality car = $15,000

Cost of high quality car = $30,000

So, Price of the car = 50% of lower quality + 50% of higher quality

= (50% × $15,000) + (50% ×30,000)

=  $7,500 + $15,000

= $22,500

Hence, price of the used car will be $22,500.

3 0
3 years ago
he following information pertains to Benedict Company. Assume that all balance sheet amounts represent average balance figures.T
ra1l [238]

Answer:

b. 14.0%

Explanation:

NET INCOME  

Sales  $ 100.000

Net Income  $ 25.000

Preferred Stock  -$ 4.000

Net Income to Stockholders' equity—common $ 21.000   14%

Net Income to Stockholders         $ 21.000

                                                      ===========  =   14%

Stockholders' equity—common    $ 150,000

5 0
3 years ago
Required: Accounting equation Ans: assets, capital, liabilities SE-2. You are provided the following information: i. Commencemen
Tasya [4]

Answer:

<h2> particular. l.f. Dr. rs. Cr. rs. </h2>

I) bank a/c. 1,00,00.

to capital a/c. 1,00,00

( being business started with bank balance)

II) purchase a/c 40,000.

to bank a/c. 40,000

(being goods purchased on credit)

III) BANK A/C 20,000.

TO GOODS A/C 20,000

(BEING GOODS SOLD ON CREDIT)

IV) FURNITURE A/C. 60,000.

TO BANK A/C. 60,000

(BEING FURNITURE PURCHASED ON CREDIT)

V) BANK A/C. 10,000.

TO FURNITURE A/C 10,000

(BEING FURNITURE SOLD ON CREDIT)

HOPE IT HELPS IM ALSO NOT COMPLETELY PERFECT AT IT

3 0
3 years ago
. Suppose that a car dealer has a local monopoly selling Volvos. It pays w to Volvo for each car that it sells, and charges each
kicyunya [14]

Answer:

The dealer will sell 15 Volvos

Explanation:

Consider the following formulas to calculate the Q of which optimize the exercise.

Profit = Q*p

Profit = (30-q)*q

Profit = 30q - q^2

Differentiating with respect to q, we get

30-2q = 0

2q = 30

q=15

The dealer will sell 15 Volvos

6 0
3 years ago
Other questions:
  • Martin works as a pizza delivery person. He parks his bike outside Regalia Inc. To deliver an order. Meanwhile, a damaged book r
    14·1 answer
  • A client demands the return of all records and documents from an attorney even though the client has not paid the attorney's fee
    10·1 answer
  • Weismann Co. issued 15-year bonds a year ago at a coupon rate of 4.9 percent. The bonds make semiannual payments and have a par
    6·1 answer
  • How does a country’s GPD help you determine if it’s economy is strong or weak
    15·1 answer
  • Angela's monthly disposable income is ​$2 comma 3682,368. She has monthly expenses of ​$2 comma 1272,127 ​(including recreationa
    15·1 answer
  • James owns a vacant property. By law, he can build the following building types, which generate a return on investment as listed
    8·1 answer
  • A manager checked production records and found that a worker produced 160 units while working 40 hours. In the previous week, th
    6·1 answer
  • Sandra views herself as a tough but fair supervisor. She gives explicit instructions to her subordinates about how tasks should
    12·2 answers
  • Freberg Company, a division of Dudge Cars, produces automotive batteries. Freberg sells the batteries to its customers for $92 p
    15·1 answer
  • Explain how insurance companies use risk pooling to generate a profit for their
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!