A financial advisor has recommended two possible mutual funds for investment: Fund A and Fund B. The return that will be achieved by each of these depends on whether the economy is good, fair, or poor. A payoff table has been constructed to illustrate this situation:

STATE OF NATURE

INVESTMENT GOOD ECONOMY FAIR ECONOMY POOR ECONOMY

Fund A $10,000 $2,000 –$5,000

Fund B $6,000 $4,000 0

Probability 0. 2 0. 3 0. 5

Draw the decision tree to represent this situation.


Perform the necessary calculations to determine which of the two mutual funds is better. Which one should you choose to maximize the expected value?


Suppose there is a question about the return of Fund A in a good economy. It could be higher or lower than $10,000. What value for this would cause a person to be indifferent between Fund A and Fund B (i. E. , the EMVs would be the same)?

Answers

Answer 1

$21,500  this would be cause a person to be indifferent between Fund A and Fund B (i. E. , the EMVs would be the same)

EMV 1 = 0.2*10,000 + 0.3*2,000 + 0.5*-5,000 = $100EMV 2 = 0.2*6,000 + 0.3*4,000 + 0.5*-0 = $2,400.

Comparing both funds based on EMV calculations, Fund B shows a higher EMV. Therefore, to maximize expected value, we should invest in Fund B with an expected value of $2,400. First, his EMV for Fund A is not the same as Fund A's return being higher or lower in good economic conditions. Therefore, the EMC can also be higher or lower. But obviously the economy changes quickly sometimes. You don't always get the same return. So relying solely on returns is risky. Relying heavily on favorable economic conditions makes Fund A vulnerable to change and increases investor risk, so investors need to be more diversified. We can do the calculation:

Fund A return in good economy = Difference between A and B: EMV (Fund A) = EMV (Fund B) 0.2*X + 0.3(2,000) + 0.5(- 5,000) = 2 4,000.2X = 4,300X = $21,500.

Therefore, if the economy is good, Fund A's return should be $21,500 for there to be indifference between Fund A and the fund B.

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Related Questions

Factor the expression: 24w + 48

Answers

Answer:

24(w+2)

Step-by-step explanation:

You must look for a common denominator between the two parts of the expression. In this case, 48 is divisible by 24. 48/24 = 2. So you can now move the common denominator out to the front. Then use this common denominator and divide each term by it. 24w/24 = w and 48/24 = 2. Therefore, your expression factored is 24 (w+2)

ANSWER

24 (W+2)

hope this helps

PLEASE HELP ASAP!!!!!

Answers

Answer:

Axis of Symmetry = -4

Vertex = (-4,7)

Step-by-step explanation:

David went shopping for a new phone because of a sale. The price on the tag was $46, but David paid $39. 10 before tax. Find the percent discount

Answers

The percent discount on the new phone is 15%.

Discount refers to a reduction in the original price of a product or service. It is a way for businesses to incentivize customers to purchase their products by offering a lower price than the original price.

To find the percent discount, we need to divide the amount of the discount by the original price, and then multiply by 100 to express the answer as a percentage.

Discount = Original Price - Sale Price

Discount = $46 - $39.10

Discount = $6.90

Percent Discount = (Discount / Original Price) x 100

Percent Discount = ($6.90 / $46) x 100

Percent Discount = 15%

Therefore, the percent discount is 15%.

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Find mRT. Assume that segments that appear to be tangent are tangent.

Answers

Answer:

m(arc RT) = 148°

Step-by-step explanation:

From the picture attached,

Segment RT is a chord and segment RS is a tangent of a circle O meeting at R.

By the property of tangent chord angle,

"Angle formed by an intersecting tangent and chord measures half of the intercepted minor arc"

m(∠SRT) = [tex]\frac{1}{2}(\text{minor arc RT})[/tex]

[tex]74^0=\frac{1}{2}m(RT)[/tex]

[tex]m(\text{arc RT)}=2(74^0)[/tex]

                 [tex]=148^0[/tex]

Therefore, measure of minor arc RT is 148°.

Lee can type 300 words in 6 minutes what is his rate per minute

Answers

Answer:

300 words in 6 minutes

300/6 words in 1 minutes

50 words in 1 minutes

Therefore,Lee can type 50 words in 1 minute.

At a coffee shop, the first 100
customers' orders were as follows.
Small
Medium
Large
Hot
5
48
22
Cold
8
12
5
What is the probability that a customer ordered a
hot drink given that he or she ordered a large?
P( Hot Large ) = [?]
Round to the nearest hundredth

Answers

Answer:

0.07

Step-by-step explanation:

lets make a chart first

           small | medium | large

hot     |   5      |     48     |    22

cold   |   8      |       1      |     5

1. add all the hot drinks

5+48+22=75

2. find 5/75,

5/75=0.0666666

hi can someone explain what does consecutive angles are supplementary mean

Answers

Answer:

key note is that when the angles are added it equals 180 degrees

PLEASE NEED HELP ASAP

Answers

Answer:

its 80ft

Step-by-step explanation:

What is the degree of [tex]9x^5y^3[/tex]

Answers

5

9x⁵=5

5y³=3

so 5>3=5

pls mark me as brainlist

What is the surface are of the triangular prism?

Answers

Answer:

114.12

Step-by-step explanation:

Solve. -3 + 9x = 24 (quick)

Answers

Answer: x = 3

Step-by-step explanation:

-3 +9x = 24

9x= 24+3

9x=27

9x/9= 27/9

x=3

Answer:

x = 3

Step-by-step explanation:

-3 + 9x = 24

rearrange:

9x - 3 = 24

Add 3 to both sides of the equation:

9x - 3 + 3 = 24 + 3

9x = 27

Divide both sides by 9:

9x/9 = 27/9

x = 3

Have a nice day!

6 2/3 times 12 simplest form

Answers

Answer:

80

Step-by-step explanation:

[tex]6\frac{2}{3} *12[/tex]

First, write the fractions as improper fractions.

[tex]\sf\frac{20}{3} *\frac{12}{1}[/tex]

Multiply.

[tex]\sf\frac{240}{3}[/tex]

Divide.

80

[tex]\huge\text{Hey there!}[/tex]


[tex]\mathsf{6\dfrac{2}{3}\times 12}[/tex]

[tex]\mathsf{= \dfrac{6\times3+2}{3}\times\dfrac{12}{1}}[/tex]

[tex]\mathsf{= \dfrac{18 + 2}{3} \times\dfrac{12}{1}}[/tex]

[tex]\mathsf{= \dfrac{20}{3} \times\dfrac{12}{1}}[/tex]

[tex]\mathsf{= \dfrac{20\times12}{3\times1}}[/tex]

[tex]\mathsf{= \dfrac{240}{3}}[/tex]

[tex]\mathsf{= 240\div 3}[/tex]

[tex]\mathsf{= 80}[/tex]


[tex]\huge\text{Therefore, your answer should be:}[/tex]

[tex]\huge\boxed{\mathsf{80}}\huge\checkmark[/tex]


[tex]\huge\text{Good luck on your assignment \& enjoy your day!}[/tex]


~[tex]\frak{Amphitrite1040:)}[/tex]

WHAT IS 10000-22 CAN ANYONE HELP

Answers

Answer:

9978

Step-by-step explanation:

10000 - 22 = 9978

9978 is the answer

Answer: 9978

Step-by-step explanation:

Stack the numbers up like this 10000

                                                          22

     borrow from the one make the zero a ten, and then borrow from that to make the next one and make it a nine and then do it to the last one and subtract. Hope this makes sense

I Forgot How To Do This For Some Reason

Answers

Answer:

A

Step-by-step explanation:

√11²+13² is the answer due to pythagoras theorem. You imagine the line between them is the hypotenuse for the right angled triangle so it’s A as 121 plus 169 is 290

21
Kinza goes on holiday to South Africa.
Kinza wants to change £950 into South African rand.
She wants to get as many 200 rand notes as possible.
The exchange rate is £1 = 18.53 rand.
Work out the greatest number of 200 rand notes that Kinza can get for £950

Answers

The answer is 88 200 rand bank notes

950*18.53=17603.5

17603.5/200=88 r3.5 (the reason there is no decimal is because it doesn’t matter because you can’t have less than a whole 200 rand note)

heyy! i’ll give brainliest please help

Answers

Answer:

a season your welcome: ]

Answer:

Seasons shouldn't be capitalized

1. Is the following a function?
2. Write a function that represents the following description:
“After 8 hours, a person earned $148 in wages”
3. Let f(x)=x and g(x)=x-13
Find (f+g)(9)
4. Paige is paying off her car loan. The function that models how much she has left to pay is P(m) = 6000 -300m where m is the number of months since Paige took out the loan. What was the original amount of her loan?

Answers

a) The given relation is function.

b) The function is, $x = 18.5 y

c) The value of (f+ g)(9) is 5.

d) The he original amount of her loan is 6000.

What is Linear Function?

A function with one or two variables and no exponents is referred to as a linear function. It is a function with a straight line as its graph.

Given:

a) The given relation is function because is input have have output, no two outputs have same input.

b) After 8 hours, a person earned $148 in wages.

So, the unit rate change = 148/ 8

                                        = 18.5

So, if y represents the number of hour and $x the wages, then the function is $x = 18.5 y.

c)  Let f(x)=x and g(x)=x-13

(f+ g)(9)

= (x+  x-13) (9)

= 2x -13

= 2(9)- 13

= 5

d) The modeled function. P(m) = 6000 - 300m.

so, the original amount of her loan is 6000.

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Find the midpoint of A and B where A has coordinates (2,3) and B has coordinates (8,9)

Answers

Step-by-step explanation:

[tex]midpoint = ( \frac{(2 + 8)}{2} , \frac{(3 + 9)}{2} ) \\ = (5,6)[/tex]

Answer:

√(x2-x1)²+(y2-y1)²

√(8-2)²+(9-3)²

√6²+6²

√36+36

√72

8.48528137424≈8.5

Step-by-step explanation:

jake ran 2 kilometers to train for an upcoming marathon.
how many meters did jake run ?

Answers

Answer:

2000

Step-by-step explanation:

1 kilometer is = 1000 meters

give brainliest pls

The graph of y = 7x + 56 passes
through (-5, 7a) in the standard(x, y)
coordinate plane. What is the value of a ?



Answers

Answer:

a = 3

Step-by-step explanation:

The point (- 5, 7a ) satisfies the equation

Substitute the coordinate points into the equation and solve for a

7a = 7(- 5) + 56 = - 35 + 56 = 21 ( divide both sides by 7 )

a = 3

Point lies on the diagonal of square with . Let and be the circumcenters of triangles and respectively. Given that and , then , where and are positive integers. Find .

Answers

Point P lies on the diagonal AC of square ABCD with AP > CP. Let [tex]$O_1$[/tex] and [tex]$O_2$[/tex] be the circumcenters of [tex]$\triangle \mathrm{ABP}$[/tex] and [tex]$\triangle \mathrm{CDP}$[/tex] respectively. Given that AB = 12 and [tex]$\angle \mathrm{O}_1 \mathrm{PO}_2=120^{\circ}$[/tex], then [tex]$\mathrm{AP}=\sqrt{\mathrm{a}}+\sqrt{\mathrm{b}}$[/tex],

where a and b are positive integers.

The value of a + b is 96.

Let mid-point of DC be E and mid-point of AB be F.

Since [tex]$\mathrm{O}_1$[/tex] and [tex]$\mathrm{O}_2$[/tex] are circumcenters, therefore both lie on the perpendicular bisectors of DC and AB passing through E and F.

Now, [tex]$\mathrm{O}_1 \mathrm{P}=\mathrm{O}_1 \mathrm{~B}$[/tex] and [tex]$\mathrm{O}_2 \mathrm{P}=\mathrm{O}_2 \mathrm{D}$[/tex]

Also [tex]$\angle \mathrm{CAB}=\angle \mathrm{ACD}=45^{\circ}$[/tex]

Therefore [tex]\angle \mathrm{BO}_1 \mathrm{P}=2 \times 45^{\circ}=90^{\circ}=\angle \mathrm{DO}_2 \mathrm{P}$[/tex]

Angle subtended by an arc of a circle at its center = 2 × the angle subtended at its circumference

Therefore [tex]\angle \mathrm{O}_1 \mathrm{~PB}$[/tex] and [tex]$\angle \mathrm{O}_2 \mathrm{PD}$[/tex] are isosceles right triangles.

Using the above information and symmetry,

[tex]$\angle \mathrm{DPB}=120^{\circ}$[/tex]

Also, [tex]$\triangle[/tex]ABP is congruent to [tex]$\triangle[/tex]ADP (SAS)

and [tex]$\triangle[/tex]CPB is congruent to [tex]$\triangle[/tex]CPD (SAS)

Therefore [tex]\angle \mathrm{APB}=\angle \mathrm{APD}=60^{\circ}[/tex]

And [tex]\angle \mathrm{CPB}=\angle \mathrm{CPD}=120^{\circ}[/tex]

Now, [tex]$\angle \mathrm{ABP}=(180-60-45)^{\circ}=75^{\circ}$[/tex]

[tex]\Rightarrow \angle \mathrm{O}_1 \mathrm{BF}=30^{\circ}[/tex]

And [tex]$\angle \mathrm{PDC}=(180-120-45)^{\circ}=15^{\circ}$[/tex]

[tex]\Rightarrow \angle \mathrm{O}_2 \mathrm{DE}=30^{\circ}[/tex]

Therefore [tex]\triangle \mathrm{O}_1 \mathrm{BF}$[/tex] and [tex]$\triangle \mathrm{O}_2 \mathrm{DE}$[/tex] are right angled triangles.

BF = DE = [tex]\frac{12}{2}[/tex] = 6

[tex]\Rightarrow O_1 B=O_2 D=4 \sqrt{3}[/tex]

And  PB = PD = [tex]\frac{4 \sqrt{3}}{\cos 45^{\circ}}=4 \sqrt{6}[/tex]

Now, Let x = AP

Using law of cosine on [tex]$\triangle[/tex]ABP, we have

[tex]& 96=x^2+144-24 x \times \frac{1}{\sqrt{2}} \\[/tex]

[tex]& \Rightarrow x^2-12 \sqrt{2} x+48=0 \\[/tex]

[tex]& \Rightarrow x=\sqrt{72} \pm \sqrt{24}[/tex]

Taking the positive root, AP = [tex]\sqrt{72}+\sqrt{24}$[/tex]

Therefore a + b = 72 + 24 = 96

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Point P lies on the diagonal AC of square ABCD with AP > CP. Let [tex]$O_1$[/tex] and [tex]$O_2$[/tex] be the circumcenters of [tex]$\triangle \mathrm{ABP}$[/tex] and [tex]$\triangle \mathrm{CDP}$[/tex] respectively. Given that AB = 12 and [tex]$\angle \mathrm{O}_1 \mathrm{PO}_2=120^{\circ}$[/tex], then [tex]$\mathrm{AP}=\sqrt{\mathrm{a}}+\sqrt{\mathrm{b}}$[/tex], where a and b are positive integers. Find a + b. (correct answer +5, wrong answer 0 )

PLEASE HELP ME ILL BRAINLIEST YOU

Answers

Answer:

7

Step-by-step explanation:

a^2 + b^ = c^2

x^2 + 24^2 = 26^2

x^2 = 100

x=10

Can i have brainliest please

Answer:

x = 10

Step-by-step explanation:

This is a right triangle problem

use the Pythagorean Theorem

a^2 + b^2 = c^2

x^2 + 24^2 = 26^2

x^2 + 576 = 676

Subtract 576 from both sides

x^2 = 100

Take the square root of both sides

x = 10

Tree+snowman+tree=17

Answers

that means tree would mean 100000 points

Answer:

tree = 8

snowman = 1

deer = 4

snowflake = 4

Step-by-step explanation:

say t = tree, s = snowman, d = deer, f = snowflake

1. For 2d + f, since you know d is equal to f, replace the snowflake with a deer, turning the equation into 3d = 12. To find the value of d divide by 3 on both sides. This will result in 4. So, the value of deer = 4.

2. Now, find the value of the snowman using the value of the deer.

4-3 = 1. This means the value of the snowman = 1.

3. Plug in the value of the snowman into 2t + s = 17.

     2t + 1 = 17

  Subtract on both sides to get 2t by itself and then simplify

      2t = 17 -1 --> 2t = 16

  Divide by 2 on both sides to find the value of the tree

      2t/2 = 16/2 --> t = 8

IM GIVING GOOD REVIEWS! EASY MATH!

Answers

Answer:

40,000

Step-by-step explanation:

can I have branliest

Answer: 40,000

Step-by-step explanation: Well it doubles every 440 minutes. Since it is asking for the size after 880 minutes, and the starting size is 20,000 just double 20,000 because 440 times 2 equals 880.

PLEASE HELP ASAP





Which is the following is not an attribute of a right rectangular prism?


1 apex

12 edges

rectangular faces

square bases

Answers

Square bases is not an attribute of a right rectangular prism. Option D

What is a right rectangular prism?

A right rectangular prism can be described as a three-dimensional solid shape with 6 faces, 12 edges, and 8 vertices.

It is sometimes called a cuboid.

All the faces of the right rectangular prism are rectangular in shape.

Examples of  right rectangular prisms are books, bricks and aquarium.

Some properties of a right rectangular prism include;

There are 12 edges There are 8 verticesAll the faces are rectanglesAll the angles formed at the vertices are of 90 degrees

These prisms have no square base(s)

Hence, the right option is square bases.

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For the function f(x)=3x^2-8 what is the average rate of change on the interval from 0 to 10?​

Answers

Answer:

Average rate of change

=

26.5

Explanation:

Use the slope formula to find average rate of change:

m

=

y

2

y

1

x

2

x

1

To use the slope formula, you need 2 points on the curve - we only have to x values, so we need to find f(8) and f(10).

f

(

8

)

=

92

f

(

10

)

=

145

These means are points are

(

x

1

,

y

1

)

=

(

8

,

92

)

and

(

x

2

,

y

2

)

=

(

10

,

145

)

.

m

=

145

92

10

8

m

=

53

2

m

=

26.5

Step-by-step explanation:

The average rate of change on the interval from 0 to 10 is 30

How to determine the average rate of change?

The function is given as:

f(x)=3x^2-8

The interval is given as:

0 to 10

Calculate f(0) and f(10)

f(0)=3 *(0)^2 -8

f(0) = -8

f(10)=3 *(10)^2 -8

f(10) = 292

The average rate of change is then calculated as:

Rate = (f(10) - f(0))/(10 - 0)

This gives

Rate = (292 +8 )/(10 - 0)

Evaluate

Rate = 30

Hence, the average rate of change on the interval from 0 to 10 is 30

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An underwater telephone cable is to cross a shallow lake from point A to point B. Stakes are located at
A, B, and C. Distance AC is measured as 112 m, mZCAB = 118.4° and m ZABC =19.2°. Find the
distance of AB. Round your answer to the nearest meter.
A
300 m
B
230 m
C
193 m
D
256 m

Answers

A
is the answer to your question to the question

Help please,I’ll give 20points (if I can)

Answers

On solving the provided question, we can say that - here in the given equation we got x- 1 = 0; x = 1, y = 2

What is equation?

An equation is a formula in mathematics that joins two statements with the equal symbol = to represent equality. The definition of an equation in algebra is a mathematical statement proving the equality of two mathematical expressions. In the equation 3x + 5 = 14, for instance, the terms 3x + 5 and 14 are separated by an equal sign. The link between two phrases on either side of a letter is expressed mathematically. There is often only one variable, which is also the symbol. instance: 2x - 4 Equals 2.

y = 2x +1

y = 3x - 1

x- 1 = 0

x = 1, y = 2

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The measures of the three sides of a triangle are 21 feet, 28 feet, and 35
feet. Determine whether the triangle is a right triangle.

Answers

Answer:

yes

Step-by-step explanation:

according to pythagoras theorem = hypotenuse² = √ base²+perpendicular²

so 21² + 28² = 35²

Solve this equation

18 = n -18

n=

Answers

Answer:

n= 36

Step-by-step explanation:

18=n-18 (add 18 to both sides of the equation, 18 and -18 cancel out)

36=n

The solution for n in equation 18 = n - 18 is 36.

To solve the equation 18 = n - 18, we need to isolate the variable n. Here's how:

Start with the equation: 18 = n - 18.

Add 18 to both sides of the equation to move the constant term to the other side: 18 + 18 = n - 18 + 18.

Simplify 36 = n.

Therefore, the solution for n is 36.

By adding 18 to both sides of the equation, we eliminate the -18 on the right side, leaving n isolated on the right side. Thus, the value of n that satisfies the equation is 36.

To check the solution, we substitute n = 36 back into the original equation: 18 = 36 - 18. Simplifying this equation results in 18 = 18, which confirms that n = 36 is indeed the solution to the equation.

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