Answer:
13.85% and 18.9%
Explanation:
As in this exercise we have a free risk asset we will assume that the t-bill has a standard deviation of 0%, so let´s firts calculate the expected return:
![E(r)=r_{1}*w_{1} +r_{2}*w_{2} +....+r_{n}*w_{n}](https://tex.z-dn.net/?f=E%28r%29%3Dr_%7B1%7D%2Aw_%7B1%7D%20%2Br_%7B2%7D%2Aw_%7B2%7D%20%2B....%2Br_%7Bn%7D%2Aw_%7Bn%7D)
where E(r) is the expected return,
is the return of the i asset and
is the investment in i asset, so applying to this particular case we have:
![E(r)=17\%*65\%+8\%*35\%](https://tex.z-dn.net/?f=E%28r%29%3D17%5C%25%2A65%5C%25%2B8%5C%25%2A35%5C%25)
![E(r)=13.85\%](https://tex.z-dn.net/?f=E%28r%29%3D13.85%5C%25)
the calculation of standar deviation follows the same logic of the previous formula:
![Sigma(r)=29\%*65\%+0\%*35\%](https://tex.z-dn.net/?f=Sigma%28r%29%3D29%5C%25%2A65%5C%25%2B0%5C%25%2A35%5C%25)
![Sigma(r)=18.9\%](https://tex.z-dn.net/?f=Sigma%28r%29%3D18.9%5C%25)
Answer: The correct answer is "C. reveals how profitable a company is".
Explanation: Asset turnover reveals how profitable a company is because it compares how well a company manages its assets to generate more income and accumulate more and more capital.
Answer:
I think that they MIGHT be A C and D
Explanation:
Answer:
the bond's price elasticity = - 0.67
Explanation:
present bond value = $1100
previous bond value = $900
change in bond value = $1100 - $900 = $200
present bond percentage = 8%
previous bond percentage = 12%
% change in bond value = 8% - 12% = - 4%
Bond price elasticity = ![\frac{change in bond value}{previous bond value}/\frac{change in percentage}{previous percentage}](https://tex.z-dn.net/?f=%5Cfrac%7Bchange%20%20in%20bond%20value%7D%7Bprevious%20bond%20value%7D%2F%5Cfrac%7Bchange%20in%20percentage%7D%7Bprevious%20percentage%7D)
= ![\frac{200}{900} / \frac{-4}{12}](https://tex.z-dn.net/?f=%5Cfrac%7B200%7D%7B900%7D%20%2F%20%5Cfrac%7B-4%7D%7B12%7D)
= ![\frac{2}{9} * -3](https://tex.z-dn.net/?f=%5Cfrac%7B2%7D%7B9%7D%20%2A%20-3)
= - 0.67
Answer:
a. greater variety and lower prices
Explanation:
Due to the comparative advantages, countries can produce the product that they have proficiency. For example, if there are 2 countries, A and B. A have a skill of producing tasty wine, they can produce better quality of wine than B with the lower cost. When the trade barriers are reduced, the wine from A will be sold in B, the customer will have more choices of wine in the market and the price will relatively less different comparing to the price when the high barriers exist.