Answer:
Expected return is: 7.37% and the Standard deviation is: 24.96%
Explanation:
Correlation between fund S&B=0,0667
Standard Deviation of Fund S=41%
Standard Deviation of Fund(B)=30%
E(R) of Stock Fund S=12%
E(R) of Stock Fund B=5%
Covariance between the funds = Standard Deviation of Fund(B) × Standard Deviation of Fund S × correlation between these funds
Cov = 0.41 × 0.30 × 0.0667 = 0.008204
Now minimum variance portfolio is found by applying:
W min(S)=(SDB)^2-Cov(B,S) / ((SDS)^2+(SDB)^2-2Cov(B,S)
W min(S) = 0.338431
W min(B) = 1-0.338431=0.661569
1) E(r)min= 0.338431 × 12% + 0.661569 × 5% = 7.37%
2) Standard Deviation:
SD Min = (Ws^2XSDs^2+Wb^2XSDb^2+2XWsWb*Cov(s,B)^1/2
SDmin=(0.338431^2 × 0.41^2 + 0.661569^2 × 0.3^2 + 2 × 0.338431 × 0.661569 × 0.008204)^1/2
SDmin=24.96%
An example of firm merger is when Almer Group announced its decision to merge with Dover Global Solutions.
<h3>What is a
firm merger?</h3>
A firm merger refers to an formal arrangement whereby two or more existing companies unites into one new company.
Therefore, when Almer Group announced its decision to merge with Dover Global Solutions, it is an example of firm merger.
Read more about firm merger
<em>brainly.com/question/1977165</em>
The statement above is FALSE.
Loews conglomeration is into many businesses including hotels, insurance, watches, oil, gas, tobacco, etc. The diversification strategy of the company is to buy up firms that are in financial mess, turn them into profitable ventures and then sell them at a premium. They also diversified by investing into new business fields.
If jorge produces 20 pounds of green beans, he can produce <u>240 </u>pounds of corn.
<h3 /><h3>
Production Possibilities Schedule</h3>
Based on the Production Possibilities Schedule table given pound of green beans is 20 while pounds of corn is 240.
Based on this if he produces 20 pounds of green beans he can as well produce 240 pounds of corn.
Jorge's Production Possibilities Schedule
Pounds of Green Beans Pounds of Corn
20 240
Therefore If jorge produces 20 pounds of green beans, he can produce <u>240 </u>pounds of corn.
Learn more about Production Possibilities Schedule here:brainly.com/question/26492942
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Answer:
price earning ratio = 2
Explanation:
given data
Book value = $40 per share
Par value = $12 per share
Dividends = $5 per share
Dividend payout ratio = 20 %
Dividend yield ratio = 10 %
solution
first we get here market price per share by dividend yield ratio that is express as
dividend yield ratio = Dividends per share ÷ market price per share ........................1
put here value we get
market price per share = 
market price per share = $50
and
now we get earning per share by dividend payout ratio that is express as
dividend payout ratio = dividend per share ÷ earning per share .................................2
put here value we get
earning per share = 
earning per share = $25
so now we get here price earning ratio that is
price earning ratio = market price per share ÷ earning per share ..........................3
put here value we get
price earning ratio = 
price earning ratio = 2
