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Delvig [45]
2 years ago
11

Bill Dukes has $100,000 invested in a 2-stock portfolio. $35,000 is invested in Stock X and the remainder is invested in Stock Y

. X's beta is 1.50 and Y's beta is 0.70. What is the portfolio's beta?
Business
1 answer:
Jet001 [13]2 years ago
5 0

Answer:

The portfolio's beta is <u>0.98</u>

Explanation:

Stock beta id the weghted average beta of a portfolio, Use following formula to calculate the portfolio beta

Portfolio beta = ( Beta of stock X x Weight of Stock X ) + ( Beta of stock Y x Weight of Stock Y )  

As per given data

Stock ______ Amount Invested ______ Beta

X _________ $35,000 _____________ 1.50

Y _________ $65,000 _____________ 0.70   ( $100,000 - $35,000 )

Placing values in the fromula

Portfolio beta = ( 1.50 x $35,000/$100,000 ) + ( 0.70 x $65,000/$100,000 )

Portfolio beta = 0.525 + 0.455

Portfolio beta = 0.98

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Golden Eagle Company prepares monthly financial statements for its bank. The November 30 and December 31 adjusted trial balances
denis23 [38]

Answer:

Explanation:

The adjusting entries are shown below:

1.  Supplies Expense A/c Dr $3,000 ($2,000 + $4,500 - $3,500)

         To Supplies A/c                           $3,000

(Being supplies purchased)

2. Insurance Expense A/c Dr $2,000

       To Prepaid Insurance A/c              $2,000

(Being prepaid insurance adjusted)

3. Salary expense A/c Dr $16,000

      To salary payable A/c               $16,000

(Being salary adjusted)

4. Unearned revenue A/c Dr   $1,500

       To Service revenue A/c                  $1,500

(Being unearned revenue adjusted)

7 0
3 years ago
Structural unemployment is caused by: Group of answer choices people losing a job when their skills become obsolete due to techn
Tanzania [10]

Structural unemployment is caused by <u>people losing a job when their skills become obsolete due to technological innovations.</u>

  • People who wish to work but are unable to obtain job are said to be experiencing structural unemployment. The abilities of the workers and the talents that businesses required do not match in structural unemployment.
  • Because the abilities of the workforce won't change despite advances in technology, if technological breakthroughs improve, there will be structural unemployment.
  • As a result of their inability to keep up with modern technology, they are losing their jobs.
<h2>What is Structural unemployment?</h2>

A mismatch between the skills of the jobless and the jobs that are available is referred to as structural unemployment. It differs from cyclical unemployment in that it results from factors other than the business cycle. 1 It happens when an underlying economic shift makes it challenging for some people to find work. It is more difficult to reverse than other forms of unemployment.

Learn more about types of structural unemployment at brainly.com/question/17272067?referrer=searchResults

#SPJ4

3 0
2 years ago
2. Realized income is also known as ____. a) gross pay. b) net income. c) real income. d) descretionary income. . 3) You are pai
iris [78.8K]

Answer:

a) gross pay

c) $1,496.34.

Explanation:

The realized income is the amount you actually received and it is taxable. According to this, the answer is gross pay as it is the money you earn before taxes are deducted.

-Realized income:

$12.75*40= 510*4 = $2,040

FICA (7.65%)= $156,06

Federal withholding (12%)= $244,8

state withholding (7%)= $142,8

$2,040-$156,06-$244,8-$142,8= $1,496.34

6 0
3 years ago
A farmer needs 500 vats of fertilizer a week during the summer. He has a barn that can hold plenty of vats which cost around $1
Simora [160]

Answer:

option (c) $500

Explanation:

Data provided in the question:

Demand, D = 500 vats of fertilizers

Cost, C = $1

Ordering costs for a new order, F = $250

Now,

Economic Order Quantity = \sqrt{\frac{2FD}{C}}

on substituting the respective values, we get

Economic Order Quantity = \sqrt{\frac{2\times250\times500}{1}}

or

Economic Order Quantity = √250,000

or

Economic Order Quantity = 500

Cost of Economic Order Quantity = 500 × $1 = $500

Hence,

the answer is option (c) $500

5 0
3 years ago
Robert Wilkins has prepared the following list of statements about process cost accounting. Identify each statement as true or f
Alex17521 [72]

Answer:

Identification of True or False Statements:

1. Process cost systems are used to apply costs to similar products that are mass-produced in a continuous fashion.

A. True

2. A process cost system is used when each finished unit is indistinguishable from another.

A. True

3. Companies that produce soft drinks, movies, and computer chips would all use process cost accounting.

A. True

4. In a process cost system, costs are tracked by individual jobs.select between

False

5.Job order costing and process costing track different manufacturing cost elements.

B. False

6. Both job order costing and process costing account for direct materials, direct labor, and manufacturing overhead.

A. True

7. Costs flow through the accounts in the same basic way for both job order costing and process costing.

A. True

8. In a process cost system, only one work in process account is used.

A. True

9. In a process cost system, costs are summarized in a job cost sheet.

B. False

10. In a process cost system, the unit cost is total manufacturing costs for the period divided by the equivalent units produced during the period.

A. True

Explanation:

A process costing system is a method of collecting and assigning manufacturing costs to the units produced.  It is used by companies that produce similar or identical units of product in batches employing a consistent process. The unit cost is arrived at by averaging units produced to the total cost of the process.

5 0
3 years ago
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