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deff fn [24]
3 years ago
12

Isabel invested in four-stock portfolio; she invested 20 percent of her money in Stock A, 30 percent of her money in Stock B, 25

percent of her money in Stock C, and 25 percent of her money in Stock D. The betas for Stock A, B, C, and D are 0.4, 1.2, 2.5, and 1.75, respectively, and their expected returns are 12 percent, 24 percent, 30 percent, and 28 percent, respectively. What is the beta of Isabel's portfolio
Business
1 answer:
expeople1 [14]3 years ago
5 0

Answer: 1.50

Explanation:

Isabel's portfolio beta is a weighted average of the individual stock betas.

= Weight of stock A * Stock A beta +  Weight of stock B * Stock B beta +  Weight of stock n * Stock n beta

= (20% * 0.4) + (30% * 1.2) + ( 25% * 2.5) + (25% * 1.75)

= 0.08 + 0.36 + 0.625 + 0.4375

= 1.5025

= 1.50

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posledela

Answer:

What is the amount of Supplies Expense that AllTech Corporation will recognize for the​ year?

$1050

Explanation:

Beggining of the year 1800

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end = beg+purtcahse-expense  

 

expense=beg+purchases-end  

 

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4 0
3 years ago
What is the Garch model
Ilya [14]

Answer:

GARCH is a statistical model that can be used to analyze a number of different types of financial data, for instance, macroeconomic data. Financial institutions typically use this model to estimate the volatility of returns for stocks, bonds, and market indices

6 0
3 years ago
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Lake Company reported beginning and ending Total Assets of $25,000 and $35,000 respectively. The Net Sales for the year were $15
Leto [7]

Answer:

0.50

Explanation:

Calculation for What is the asset turnover ratio

Using this formula

Asset turnover ratio=Net sales /Average total assets

Let plug in the formula

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Asset turnover ratio=$15,000/($60,000/2)

Asset turnover ratio=$15,000/$30,000

Asset turnover ratio= 0.50

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7 0
3 years ago
In some countries a surgeon can earn 250000 or more each year. A nurse may earn just 40000 in comparison. Suggest three reasons
grandymaker [24]

Answer: See explanation

Explanation:

The reasons for the difference in wages include:

1. Education and training: A nurse uses about 4-5 years to train to become a nurse while a surgeon uses about 15 years both at medical school and for further training and examination before he or she qualifies as a surgeon. This is a reason for the higher earning of the surgeon.

2. Also, due to the low barriers to entry, there are numerous nurses than surgeons who are few. This affects earnings as well as there are more supply of nurses which brings about a lower income than surgeons who are scarce and highly priced.

3. The skills and experience matters as well and the risks involved in their jobs results in wage difference too.

5 0
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What is the total monthly payment for this mortgage? Principal Per Month $980 Interest Per Month $105 Property Tax Per Year 1 pe
Lostsunrise [7]
The total monthly mortgage payment is$1085
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