The question is incomplete as it is missing the figures. The complete question is,
Fremont Enterprises has an expected return of 15% and Laurelhurst News has an expected return of 20%. If you put 70% of your portfolio in Laurelhurst and 30% in Fremont, what is the expected return of your portfolio?
Answer:
Portfolio return = 0.185 or 18.5%
Explanation:
The expected return of a portfolio is a function of the weighted average of the individual stocks returns' that form up the portfolio. The expected return of a portfolio can be calculated using the following formula,
Portfolio return = wA * rA + wB * rB + ... + wN * rN
Where,
- w represents weight of each stock in the portfolio
- r represents the return of each stock in the portfolio
Portfolio return = 0.3 * 0.15 + 0.7 * 0.2
Portfolio return = 0.185 or 18.5%
Answer:an inferior good; very large
Explanation:A consumer budget is the actual purchasing potential with which he or she can purchase a number of two goods, provided their prices.
There are two factors that affect a consumer’s choice of quantities to purchase between two goods: prices and money income. Price times quantity for each good gives us the expenditure incurred on purchasing a good.
Given:
Principal /loan: 45,000
Interest rate: 5% per annum
Term: 6 years.
Simple Interest = Principal * interest rate * term
Simple Interest = 45,000 * 5% * 6
Simple Interest = 13,500
45,000 + 13,500 = 58,500 This is the total amount due
12 months * 6 years = 72 months
58,500 / 72 = 812.50 monthly payment
Kim must pay $812.50 per month for the next 6 years.
Answer:
a. True
b. True
c. True
d. False
e. True
f. False
g. False
Explanation:
There are two countries which are about to enter into the free trade. Under the free trade circumstances the Home country will produce timber but it does not completely specializes in producing the timber. The labor is mobile factor which can move in the free trade therefore they will move towards their employability in the TV industry.