Answer:
correct option is b. $200,000
Explanation:
given data
Intercept = 40,000
Slope = 20
machine hours X = 8000
to find out
what is the predicted cost of equipment maintenance for April
solution
we will use here least square equation that will be
Y = intercept + Slope × X ............................1
here Y is cost of maintenance and X is maintenance hours
so put here value we get from equation 1
Y = 40000 + ( 20 ×
8000 )
Y = 40000 + 160000
Y = 200000
so predicted cost of equipment maintenance for April is 200000
correct option is b. $200,000
Answer:
a. Expected Return = 16.20 %
Standard Deviation = 35.70%
b. Stock A = 22.10%
Stock B = 29.75%
Stock C = 33.15%
T-bills = 15%
Explanation:
a. To calculate the expected return of the portfolio, we simply multiply the Expected return of the stock with the weight of the stock in the portfolio.
Thus, the expected return of the client's portfolio is,
- w1 * r1 + w2 * r2
- 85% * 18% + 15% * 6% = 16.20%
The standard deviation of a portfolio with a risky and risk free asset is equal to the standard deviation of the risky asset multiply by its weightage in the portfolio as the risk free asset like T-bill has zero standard deviation.
b. The investment proportions of the client is equal to his investment in T-bills and risky portfolio. If the risky portfolio investment is considered of the set proportion investment in Stock A, B & C then the 85% investment of the client will be divided in the following proportions,
- Stock A = 85% * 26% = 22.10%
- Stock B = 85% * 35% = 29.75%
- Stock C = 85% * 39% = 33.15%
- T-bills = 15%
- These all add up to make 100%
The board needs employees who have transformational qualities as well.
Marginal utility is the extra satisfaction gained from consuming one more unit of a good.
<span>They have to use reasonable care to warn about hidden risk. These are the dangers that might not be totally foreseeable at a location, but still need to be brought to light in case they do take place. The business needs to make sure that the ordinary person, exercising the average level of judgment, would not do something that would lead to injury or damage in some way.</span>
