Subtracting the initial investment of $80,000 from the sum of the present values gives the NPV of the project, which is $5,645.64.
To calculate the NPV (Net Present Value) of a project at a discount rate of 10%, you need to do the following:
Determine the expected cash inflows and outflows for each period of the project.
Determine the discount factor for each period using the formula (1 + r)t, where r is the discount rate (10% in this case) and t is the period number.
Multiply each cash flow by its discount factor to get the present value of each cash flow.
Sum up all the present values of the cash flows to get the total present value.
Subtract the initial investment (outflow) from the total present value to get the NPV.
Here's the formula for NPV at a discount rate of 10%:
NPV = CF0 + (CF1 / (1 + r)1) + (CF2 / (1 + r)2) + ... + (CFn / (1 + r)n)
where:
CF0 = initial cash outflow (usually a negative number)
CF1 to CFn = expected cash inflows for periods 1 to n
r = discount rate
Learn more about npv
https://brainly.com/question/29423457
#SPJ4
Full Question: How do you calculate NPV at 10% rate of return?
which of the following describes a literal patent infringement where the infringed device does more than is described in the patent application of the protected invention? group of answer choices rule of exactness rule of omission rule of inclusion rule of addition
Rule of addition is infringed device does more than is described in the patent application of the protected invention. The answer is OPTION D
Willful and literal infringement: The idea of purpose is involved in willful infringement. It describes an act of infringement that completely disregards the existence of a copyright. Simply stated, it indicates that the offender was probably aware of the patent but decided against abiding by the law.
The Patents Act of 1970 gives the patentee the ability to sue if his exclusive patent rights are violated. The Limitation Act of 1963 stipulates that a lawsuit must be filed within three years of the date that property rights were violated.
To learn more about infringed, click here.
https://brainly.com/question/29845091
#SPJ4
accumulating capital question 11 options: requires that society sacrifice consumption goods in the present. allows society to consume more in the present. decreases saving rates. involves no tradeoffs.
Accumulating capital requires that society sacrifice consumption goods in the present. So the correct option is A.
This is because capital accumulation involves investing resources in the production of capital goods, such as machinery, infrastructure, and technology, which are used to increase future production and improve productivity. Sacrificing consumption goods in the present means allocating resources to capital goods instead of immediate consumption, in order to build up capital for future production and economic growth. This is a fundamental concept in economics, known as the "capital accumulation" or "capital formation" process.
Learn more about Accumulating
https://brainly.com/question/15907765
#SPJ4
Full Question ;
Accumulating capital question :
A requires that society sacrifice consumption goods in the present.
B allows society to consume more in the present.
C decreases saving rates.
D involves no tradeoffs.
which must exist before a country can specialize its production? responses a global economy a global economy a free-market system a free-market system government subsidies government subsidies an international division of labor
Before a country can specialize its production, a free-market system and an international division of labor must exist. In a free-market system, the market determines the allocation of resources based on the supply and demand of goods and services.
This allows countries to specialize in the production of goods and services that they have a comparative advantage in, based on their natural resources, technology, and labor skills. An international division of labor allows countries to trade with one another, which allows them to access goods and services that they may not be able to produce themselves. Specialization and trade allow countries to increase their efficiency, which can lead to increased economic growth and higher standards of living. A global economy and government subsidies may also play a role in promoting specialization, but they are not essential.
Learn more about free-market system
https://brainly.com/question/6750227
#SPJ4
the area of appraisal that most commonly utilizes both norm-reference and criterion-referenced instruments is:
The area of appraisal that most commonly utilizes both norm-reference and criterion-referenced instruments is educational assessment.
Norm-referenced test are used to compare a student’s test performance to the performance of other students who have taken the same test. These results can then be used for educational decision making regarding grade placement, course selection, and eligibility for certain services or programs.
Criterion-referenced tests compare each student's performance against a predetermined level of achievement. This type of assessment is often used to track academic growth as well as document mastery of specific skills and competencies.
To know more about Norm-referenced test visit:
https://brainly.com/question/30575603
#SPJ4
which of the following is likely true about the 2018 midterm elections based on the data in the line graph? responses the budget deficit is going to be a bigger issue in the 2018 midterm elections than it was in the 2010 midterm elections. the budget deficit is going to be a bigger issue in the 2018 midterm elections than it was in the 2010 midterm elections. members of congress that are running for reelection are likely to emphasize their record on the budget deficit rather than jobs. members of congress that are running for reelection are likely to emphasize their record on the budget deficit rather than jobs. democrats are more likely than republicans to vote in the 2018 midterm elections. democrats are more likely than republicans to vote in the 2018 midterm elections. economic issues are less likely to be discussed in the 2018 midterm elections than in the 2012 presidential elections.
Based on the data in the line graph, it is likely true that D. economic issues are less likely to be discussed in the 2018 midterm elections than in the 2012 presidential elections
This is because the line graph shows a decrease in the prominence of economic issues over time. Since economic issues were a major focus in the 2012 presidential elections, the decline in their importance suggests they will not be as significant in the 2018 midterm elections.
In conclusion, the data in the line graph supports the idea that economic issues will be less prominent in the 2018 midterm elections compared to the 2012 presidential elections. It is important to remember that other factors not depicted in the graph may also influence the elections, so it is always essential to consider multiple sources of information when making predictions about future events. Therefore the correct option is D
The Question was Incomplete, Find the full content below :
Which of the following is likely true about the 2018 midterm elections based on the data in the line graph?
A. The budget deficit is going to be a bigger issue in the 2018 midterm elections than it was in the 2010 midterm elections.
B. Members of Congress that are running for reelection are likely to emphasize their record on the budget deficit rather than jobs.
C. Democrats are more likely than Republicans to vote in the 2018 midterm elections.
D. Economic issues are less likely to be discussed in the 2018 midterm elections than in the 2012 presidential elections.
Know more about line graph here:
https://brainly.com/question/31314566
#SPJ11
suppose that the local government of jacksonville decides to institute a tax on seltzer producers. before the tax, 45,000 packs of seltzer were sold every week at a price of $10 per pack. after the tax, 38,000 packs of seltzer are sold every week; consumers pay $15 per pack, and producers receive $6 per pack (after paying the tax). the amount of the tax on a pack of seltzer is $ per pack. of this amount, the burden that falls on consumers is $ per pack, and the burden that falls on producers is $ per pack. true or false: the effect of the tax on the quantity sold would have been the same as if the tax had been levied on consumers. true false
The given statement "the amount of the tax on a pack of seltzer is $15 per pack. of this amount, the burden that falls on consumers is $10 per pack, and the burden that falls on producers is $4 per pack." is false because if the tax had been levied on consumers, the price of seltzer would have increased by the full amount of the tax, which in this case would have been $4 per pack.
First, let's look at the details of the tax. The tax is levied on seltzer producers, meaning that they will have to pay a certain amount of money for each pack of seltzer they produce.
=> ($10 original price - $6 received by producers = $4 tax per pack).
Next, let's examine the burden of the tax, which refers to who ultimately bears the cost of the tax. In this case, we know that the producers are paying $4 per pack in tax, but we also know that the price of seltzer has increased by $5 per pack
=> ($15 price after tax - $10 original price = $5 increase in price per pack).
This means that consumers are paying $5 per pack more for seltzer because of the tax.
Therefore, the burden of the tax is shared between producers and consumers, with producers paying $4 per pack and consumers paying $5 per pack.
Finally, we need to determine whether the effect of the tax on the quantity sold would have been the same if the tax had been levied on consumers instead of producers. The answer is false.
Therefore, the effect of the tax on the quantity sold would not have been the same if the tax had been levied on consumers instead of producers.
To know more about tax here
https://brainly.com/question/16423331
#SPJ4
a stock currently sells for $57. the dividend yield is 3 percent and the dividend growth rate is 4.3 percent. what is the amount of the dividend to be paid in one year?
The new dividend payment will be $1.78 per share in the next year.
The dividend yield is the annual dividend payment divided by the stock's current price. In this case, the stock currently sells for $57, and the dividend yield is 3 percent. Therefore, we can calculate the annual dividend payment as follows:
Annual Dividend Payment = Dividend Yield x Stock Price
Annual Dividend Payment = 0.03 x $57
Annual Dividend Payment = $1.71
So, the company will pay $1.71 in dividends per share in one year.
The dividend growth rate is the percentage increase in the dividend payment compared to the previous year. In this case, the dividend growth rate is 4.3 percent. This means that the dividend payment will increase by 4.3 percent in the next year.
To calculate the new dividend payment, we can use the following formula:
New Dividend Payment = Previous Dividend Payment x (1 + Dividend Growth Rate)
New Dividend Payment = $1.71 x (1 + 0.043)
New Dividend Payment = $1.78
To know more about dividend here
https://brainly.com/question/29510262
#SPJ4
by making the pdp 11 minicomputer an integral part of the therac-25, aecl was able to group of answer choices reduce costs by replacing hardware safety features with software safety features. increase the stock price of its subsidiary digital equipment corporation. shrink the size of the machine considerably. eliminate the need for lead shielding. all of these.
By making the pdp 11 minicomputer an integral part of the therac-25, AECL was able to reduce costs by replacing hardware safety features with software safety features.
About AECLAECL was able to reduce costs by replacing hardware safety features with software safety features by making the pdp 11 minicomputer an integral part of the Therac-25.
By doing so, the company eliminated the need for lead shielding, shrunk the size of the machine considerably, and reduced the amount of hardware required. This resulted in significant cost savings for AECL.
Learn more about AECL at
https://brainly.com/question/28100065
#SPJ11
multiple choice question when standard direct labor hours differ from actual direct labor hours used, the company experienced a(n): multiple choice question. efficiency variance cost variance labor hours variance spending variance
When standard direct labor hours differ from actual direct labor hours used, the company experienced a labor hours variance.
What is labor hours variance?Labor hours variance is the difference between actual hours of labor and the estimated hours of labor required to produce a certain amount of output at the standard labor cost rate. In other words, it is the difference between actual labor hours and budgeted labor hours, which is expressed in hours and currency.
The formula for labor hour variance is as follows:
(Actual hours - Standard hours) × Standard labor rate per hour.
Learn more about labor hours variance at
https://brainly.com/question/29843180
#SPJ11
one test of whether marketing research should be done is if multiple choice interpreting the data can be done using a jury of executive opinions. the decision to undertake it is unanimous. different outcomes will lead to different marketing actions. multiple changes can be implemented simultaneously. there is a budget for the research.
The statement "the decision to undertake it is unanimous" is a test that marketing research should be done. This means that all the people involved in making the decision to conduct the research agree that it is necessary.
There are several tests that can be used to determine whether marketing research should be done. One of these is whether the decision to undertake it is unanimous. This means that all the people involved in making the decision to conduct the research agree that it is necessary. Other tests include whether multiple changes can be implemented simultaneously, whether there is a budget for the research, and whether different outcomes will lead to different marketing actions.Marketing research is an essential tool for businesses to understand their customers, competitors, and market trends. It can help businesses make informed decisions about their marketing strategies and improve their overall performance. Therefore, it is important to conduct marketing research whenever necessary to stay competitive in the market.
Know more about marketing research here:
https://brainly.com/question/30651551
#SPJ11
an auditor testing investments would ordinarily use analytical procedures to ascertain the reasonableness of the existence of unrealized gains or losses. classification as available-for-sale or trading securities. valuation of trading securities. completeness of recorded investment income.
To determine the reasonableness of the completeness of documented investment income, an auditor examining long-term investments will typically use substantive analytical processes. Examining the financial records for any unusual or unexpected balances that weren't previously noted.
At the planning, execution, and completion phases of an audit, analytical procedures are carried out with three main goals in mind: risk assessment, assurance, and financial analytical review. By highlighting aspects and changes in the entity's business that the auditor was previously unaware of, analytical methods help the auditor in the planning stage to understand the client's business and to identify areas of potential risk.
To learn more about auditor, click here.
https://brainly.com/question/28457117
#SPJ4
pollution control equipment for a pulverized coal cyclone furnace is estimated to cost $200,000, 2 years from now, and, an additional $120,000, 6 years from now. if monongahela power wants to set aside enough money now, to cover these future costs, how much must be invested at an interest rate of 8% per year, compounded quarterly?
Monongahela Power must invest approximately $245,374.55 now at an interest rate of 8% per year, compounded quarterly, to cover the future costs of pollution control equipment.
To calculate the amount Monongahela Power needs to invest now to cover future costs of pollution control equipment for a pulverized coal cyclone furnace, we can use the present value formula for each expense and then sum them up. The formula is:
PV = FV / (1 + r/n)^(nt)
where PV is the present value, FV is the future value, r is the annual interest rate, n is the number of compounding periods per year, and t is the number of years.
First, let's calculate the present value of the $200,000 cost 2 years from now:
PV1 = 200,000 / (1 + 0.08/4)^(4*2)
PV1 = 200,000 / (1 + 0.02)^8
PV1 = 200,000 / 1.1716593
PV1 ≈ $170,758.74
Next, calculate the present value of the $120,000 cost 6 years from now:
PV2 = 120,000 / (1 + 0.08/4)^(4*6)
PV2 = 120,000 / (1 + 0.02)^24
PV2 = 120,000 / 1.6082455
PV2 ≈ $74,615.81
Now, add the present values together:
Total PV = PV1 + PV2
Total PV ≈ $170,758.74 + $74,615.81
Total PV ≈ $245,374.55
Therefore, Monongahela Power must invest approximately $245,374.55.
Learn more about Present value:
https://brainly.com/question/29650863
#SPJ11
the consolidated omnibus budget reconciliation act gives workers and their families whose employment has been terminated the right to
The Consolidated Omnibus Budget Reconciliation Act gives workers and their families the right to continue their employer-provided group health insurance coverage for a limited period of time after their employment has been terminated.
The Consolidated Omnibus Budget Reconciliation Act (COBRA) gives workers and their families whose employment has been terminated the right to continue their employer-provided group health insurance coverage for a limited period of time. This means that eligible employees and their family members can continue to receive health insurance benefits for a period of time after their job has ended, as long as they pay for the coverage themselves.
This coverage can be important for individuals who are in between jobs or who are unable to obtain coverage through other means, such as a spouse's employer-sponsored plan or the individual insurance marketplace. The duration of COBRA coverage generally ranges from 18 to 36 months, depending on the circumstances of the job loss.
Learn more about COBRA here
brainly.com/question/28265119
#SPJ4
which of the following statements is not true? a.when transferring into the available-for-sale category from the held-to-maturity category, the difference between the held-to-maturity security's amortized cost and the fair value at the time of transfer gives rise to an unrealized holding gain or loss, which is included in income. b.no accounting for the unrealized holding gain or loss is needed because it has already been recognized in net income when transferring from the trading category. c.when a transfer into the trading category from any other category occurs, the previous unrealized holding gain or loss is recognized immediately in net income and eliminated from accumulated other comprehensive income. d.when a transfer of a debt security into the held-to-maturity category from the available-for-sale category occurs, the unrealized holding gain or loss on the date of transfer will continue to be reported as a separate component of accumulated other comprehensive income and also represents a premium or discount that is amortized over the remaining life of the security consistent with the effective interest method.
The statement that is not true is option B: no accounting for the unrealized holding gain or loss is needed because it has already been recognized in net income when transferring from the trading category.
This statement is incorrect because when transferring from the trading category, any unrealized holding gain or loss is recognized immediately in net income, just like when transferring from the available-for-sale category. Therefore, the correct statement should be that no accounting for the unrealized holding gain or loss is needed because it has already been recognized in net income when transferring from either the trading or available-for-sale category.
Learn more about trading category.
https://brainly.com/question/28558444
#SPJ4
a fraud examiner is examining a subscription magazine company. which of the following schemes are they most concerned about the company perpetrating, given its industry? a. failure to record liabilities b. reporting revenue rather than a liability c. failing to record contingencies d. reporting a liability rather than revenue
Reporting revenue rather than a liability schemes are they most concerned about the company perpetrating, given its industry . option (2)
As a fraud examiner examining a subscription magazine company, the scheme that they would be most concerned about is reporting revenue rather than a liability. This is because subscription-based businesses, such as magazine companies, often collect payments in advance for their services, which creates a liability to provide those services over time.
If the company reports the payments as revenue immediately, without recognizing the liability, it can artificially inflate its financial performance and mislead investors and other stakeholders. Therefore, it is important for the fraud examiner to ensure that the company is properly accounting for its liabilities and revenue in accordance with accounting principles and regulations.
Learn more about fraud examiner
https://brainly.com/question/20436979
#SPJ4
Full Question: A fraud examiner is examining a subscription magazine company. which of the following schemes are they most concerned about the company perpetrating, given its industry?
a. failure to record liabilities
b. reporting revenue rather than a liability
c. failing to record contingencies
d. reporting a liability rather than revenue
firms that follow a(n) blank strategy maintain centralized control over the firm's core competencies, but decentralize most other operating decisions. multiple choice question.
Businesses that employ localization strategies decentralise most operational decisions while maintaining centralised control over the company's core strengths.
In the face of uncertainty, a strategy is a comprehensive plan to achieve one or more long-term or broad goals. The expression was initially used in reference to the "art of the general" in the sixth century C.E., which included a variety of skill sets such military strategy, siegecraft, logistics, etc. The phrase wasn't introduced into Western vernacular languages until the 18th century. The word "strategy" evolved between that time and the turn of the 20th century to denote "a comprehensive means to try to advance political interests, including the threat. mostly because there aren't many resources available to complete.
Learn more about strategy from
https://brainly.com/question/26865735
#SPJ4
which of the following is a likely public policy result of the data on the line graph? responses public policies that create jobs but increase the deficit, such as tax cuts or infrastructure spending, will likely be prioritized over paying down the national debt. public policies that create jobs but increase the deficit, such as tax cuts or infrastructure spending, will likely be prioritized over paying down the national debt. bills in congress that create an economic stimulus through public works projects will pass with bipartisan support. bills in congress that create an economic stimulus through public works projects will pass with bipartisan support. a program to extend unemployment benefits to more people will likely pass in 2018. a program to extend unemployment benefits to more people will likely pass in 2018. public policies that pay down the deficit but are harmful to economic growth will likely pass during the next congress.
A likely public policy outcome of the data on the line graph is that public measures that increase the deficit but create employment, like tax cuts or infrastructure expenditure, will be favored over paying down the national debt. Option a is Correct.
As a result of the government using less money to buy products and services from the private sector, economic growth typically slows. By reducing people's disposable income and therefore their purchasing power, higher taxes have the tendency to hinder economic growth.
As taxes stay the same, government spending increases. Expansionary. More public spending without a corresponding increase in tax revenues drives up overall demand for goods and services. Option a is Correct.
Learn more about public policy Visit: brainly.com/question/29551917
#SPJ4
Correct Question:
which of the following is a likely public policy result of the data on the line graph? responses
a. public policies that create jobs but increase the deficit, such as tax cuts or infrastructure spending, will likely be prioritized over paying down the national debt.
b. public policies that create jobs but increase the deficit, such as tax cuts or infrastructure spending, will likely be prioritized over paying down the national debt.
c. bills in congress that create an economic stimulus through public works projects will pass with bipartisan support. bills in congress that create an economic stimulus through public works projects will pass with bipartisan support.
d. a program to extend unemployment benefits to more people will likely pass in 2018. a program to extend unemployment benefits to more people will likely pass in 2018.
e. public policies that pay down the deficit but are harmful to economic growth will likely pass during the next congress.
mikhail owns real estate held for investment with a basis of $400,000 and a fair market value of $650,000. he exchanges it for other real estate with a fair market value of $480,000. in addition, mikhail is relieved of a mortgage on the old property of $200,000, assumes a mortgage on the new property of $100,000, and receives $70,000 in cash. what is mikhail's recognized gain on the exchange?
Mikhail's recognized gain on the exchange is $20,000. The recognized gain on the exchange is determined using the following formula: Realized Gain - Deferred Gain= Recognized Gain.
Where, Realized Gain = FMV of property received - FMV of the property exchanged (FV of liabilities assumed + cash received) Deferred Gain = If the realized gain exceeds the boot (less than the FMV of the property received), the excess gain is deferred as a result of the boot being received. Mikhail's recognized gain on the exchange is $20,000.
Realized gain FMV of property received: $480,000FMV of the property exchanged: $650,000FV of liabilities assumed + cash received: $100,000 + $70,000= $170,000Realized gain: $480,000 - $650,000 + $170,000= $0 - $20,000= - $20,000 (because the result is negative, Mikhail has not made a profit on the exchange).
Therefore, Mikhail's recognized gain on the exchange is $20,000.
To know more about gain on the exchange refer here:
https://brainly.com/question/31108245#
#SPJ11
a company issues $10,000,000, 7.8%, 20-year bonds to yield 8% on january 1, 2013. interest is paid on june 30 and december 31. the proceeds from the bonds are $9,802,072. using straight-line amortization, what is the carrying value of the bonds on december 31, 2016?
The carrying value of the bonds on December 31, 2016 is $9,192,500.
The bonds have a face value of $10,000,000 and were issued at a discount of $197,928 ($10,000,000 - $9,802,072). The discount is amortized over the life of the bonds using the straight-line method, which means that the same amount of discount is amortized each year. The annual amortization is calculated as follows:
Annual Discount Amortization = Discount / Number of Years
= $197,928 / 20 years
= $9,896.40 per year
Interest expense is calculated using the effective interest rate, which is 8% based on the market yield. The interest expense for the first year is $784,165 ($10,000,000 x 7.8% x 6/12) and the annual interest expense for subsequent years is $780,000 ($10,000,000 x 7.8% x 1/2).
The carrying value of the bonds on December 31, 2016 is calculated as follows:
Carrying Value = Face Value - Discount + Amortization - Interest Expense
= $10,000,000 - $197,928 + ($9,896.40 x 4 years) - ($784,165 + $780,000 x 3 years)
= $9,192,500.
For more questions like Bond click the link below:
https://brainly.com/question/28489869
#SPJ11
rent-a-reck incorporated finds that it can rent 60 cars if it charges $80 for a weekend. it estimates that for each $5 price increase it will rent three fewer cars. what price should it charge to maximize its revenue?
The price that should be charged by Rent-A-Reck Incorporated to maximize its revenue is $120 for a weekend.
To find the price Rent-A-Reck Incorporated should charge to maximize its revenue, follow these steps:
1. Identify the given information:
Rent-A-Reck can rent 60 cars at $80 for a weekend. For each $5 price increase, it will rent three fewer cars.
2. Set up a revenue function:
Revenue (R) is the product of the number of cars rented (x) and the price per car (p). In this case, the function can be represented as R(x) = x * p.
3. Determine the relationship between price and the number of cars rented:
As the price increases by $5, the number of cars rented decreases by 3. We can represent this with the equation:
p = 80 + 5y, where y is the number of $5 increases.
Similarly, x = 60 - 3y, since the number of cars rented decreases by 3 for each price increase.
4. Substitute the expressions for p and x into the revenue function:
R(y) = (60 - 3y) * (80 + 5y).
5. Expand and simplify the revenue function:
R(y) = 4800 - 240y + 15y^2.
6. Find the maximum revenue by taking the derivative of the revenue function with respect to y and setting it to 0:
dR(y)/dy = -240 + 30y = 0.
7. Solve for y:
y = 240 / 30 = 8.
8. Calculate the price Rent-A-Reck should charge:
p = 80 + 5 * 8 = 80 + 40 = $120.
Rent-A-Reck Incorporated should charge $120 for a weekend to maximize its revenue.
Learn more about Revenue:
https://brainly.com/question/23706629
#SPJ11
when an industry is subject to externally generated changes, the firms which are most likely to establish a competitive advantage are:
When an industry faces externally generated changes, the firms most likely to establish a competitive advantage are those that are adaptive, innovative, and have strong risk management capabilities.
Let's understand this in more detail.
1. Adaptive: In a constantly changing environment, firms that can quickly adapt to new circumstances and embrace change are more likely to succeed. This includes being open to re-evaluating their strategies, re-allocating resources, and re-organizing their operations to better address the evolving industry landscape.2. Innovative: Firms that prioritize innovation are better positioned to establish a competitive advantage when faced with external changes. By continuously investing in research and development, these firms can create new products, services, or business models that not only address the changes but also offer unique value propositions to their customers.
3. Strong risk management capabilities: Firms with robust risk management systems are more likely to establish a competitive advantage amidst externally generated changes. This is because they can effectively identify, assess, and mitigate the potential risks associated with these changes, thereby minimizing negative impacts on their business operations.4. Collaborative: Firms that establish strong networks and collaborate with other industry players can better navigate external changes. By leveraging the knowledge and expertise of their partners, these firms can jointly develop solutions that address the challenges posed by the external changes and thus strengthen their competitive position in the market.
To know more about competitive advantage click here
brainly.com/question/15095207
#SPJ11
you decide to invest in a portfolio consisting of 13 percent stock x, 53 percent stock y, and the remainder in stock z. based on the following information, what is the standard deviation of your portfolio? state of economy probability of state of economy return if state occurs stock x stock y stock z normal .77 10.80% 4.20% 13.20% boom .23 18.10% 26.10% 17.60%
The standard deviation of the portfolio is 11.75%.
To calculate the standard deviation of the portfolio, we first need to calculate the expected return and standard deviation of each stock.
The expected return of stock x is (0.77 x 10.80%) = 8.30%, with a standard deviation of 4.20%. The expected return of stock y is (0.77 x 4.20%) = 3.22%, with a standard deviation of 13.20%. The expected return of stock z is (0.23 x 18.10%) + (0.23 x 26.10%) + (0.23 x 17.60%) = 20.15%, with a standard deviation of 3.83%.
Next, we calculate the expected return and standard deviation of the portfolio by weighting the returns and standard deviations of each stock according to their percentage in the portfolio.
Expected return = (0.13 x 8.30%) + (0.53 x 3.22%) + (0.34 x 20.15%) = 10.90%
Standard deviation = sqrt[(0.13^2 x 4.20^2) + (0.53^2 x 13.20^2) + (0.34^2 x 3.83^2) + 2(0.13 x 0.53 x 4.20 x 13.20) + 2(0.13 x 0.34 x 4.20 x 3.83) + 2(0.53 x 0.34 x 13.20 x 3.83)] = 11.75%
Therefore, the standard deviation of the portfolio is 11.75%.
For more questions like Standard deviation click the link below:
https://brainly.com/question/14747159
#SPJ11
altamonte telecommunications has a target capital structure that consists of 40% debt and 60% equity. the company anticipates that its capital budget for the upcoming year will be $1,000,000. if altamonte reports net income of $1,800,000 and it follows a residual dividend payout policy, what will be its dividend payout ratio? round your answer to two decimal places.
the dividend payout ratio for Altamonte Telecommunications will be 78%.
Here's how to calculate the dividend payout ratio:
Step 1: Calculate the total amount of equity and debt that will be required to fund the upcoming capital budget. The target capital structure consists of 40% debt and 60% equity, and the capital budget is $1,000,000.
So, the amount of debt required will be 40% x $1,000,000 = $400,000, and the amount of equity required will be 60% x $1,000,000 = $600,000.
Step 2: Calculate the amount of money that will be available for dividends. Altamonte has a net income of $1,800,000, so the amount of money available for dividends will be $1,800,000 - $400,000 = $1,400,000.
Step 3: Calculate the dividend payout ratio. The dividend payout ratio is calculated by dividing the dividends by the net income.
Since Altamonte follows a residual dividend payout policy, the dividends paid out will be equal to the amount of money available for dividends, which is $1,400,000.
So, the dividend payout ratio will be: $1,400,000 / $1,800,000 = 0.78 or 78% Therefore, the dividend payout ratio for Altamonte Telecommunications will be 78%.
To know more about Altamonte Telecommunications here
https://brainly.com/question/15314126
#SPJ11
when crafting a solution to a problem during a performance appraisal, what should employers do? (choose every correct answer.)
When crafting a solution to a problem during a performance appraisal, employers should consider the following steps like Identify the problem, Analyze the problem, Set clear expectations, Involve the employee, Develop an action plan, Monitor progress, Provide support.
1. Identify the problem: Employers should first clearly identify the problem by gathering information and reviewing the employee's performance. They should consider any discrepancies between expected and actual performance, as well as the impact of the problem on the organization.
2. Analyze the problem: Once the problem is identified, employers should analyze its root causes and contributing factors. This may involve examining the employee's work habits, training, and external factors that may be affecting their performance.
3. Set clear expectations: Employers should ensure that the employee understands the performance expectations and goals for their role. This may involve reviewing job descriptions, performance metrics, and discussing areas for improvement.
4. Involve the employee: When crafting a solution, employers should involve the employee in the process. This may include soliciting their input, discussing potential solutions, and incorporating their feedback into the final plan.
5. Develop an action plan: Employers should create a specific, measurable, achievable, relevant, and time-bound (SMART) action plan to address the problem. This plan should outline the steps to be taken, the resources needed, and a timeline for achieving the desired outcome.
6. Monitor progress: Employers should regularly monitor the employee's progress toward achieving the goals set in the action plan. This may involve scheduling periodic check-ins, providing feedback, and adjusting the plan as necessary.
7. Provide support: Throughout the process, employers should provide support to the employee, such as additional training, resources, or mentorship, to help them achieve their goals and improve their performance.
By following these steps, employers can craft effective solutions to problems identified during performance appraisals, helping both the employee and the organization to grow and succeed.
For more such question on performance appraisal
https://brainly.com/question/27953070
#SPJ11
liberalism is best associated with which of the following? a. elimination of all private property b. state-owned enterprises c. free trade d. tariff barriers
Liberalism is best associated with free trade. Liberalism is an economic and political ideology that advocates for individual freedom, equality, and the protection of human rights.
In terms of economics, liberalism supports free markets and trade, with minimal government intervention in the economy. Free trade, which involves the exchange of goods and services across international borders without restrictions or tariffs, is a core tenet of liberalism. Advocates of liberalism believe that free trade promotes economic growth, increases competition, and benefits consumers by allowing them to access goods and services at lower prices. Therefore, answer c, "free trade," is the correct option.
To learn more about Liberalism refer to:
brainly.com/question/28765263
#SPJ4
price is the amount of something that a buyer exchanges with a seller to obtain a product. this exchange can be in the form of
A price is the amount of something that a buyer exchanges with a seller to obtain a product. This exchange can be in the form of money, goods, or services.
Identify the product: A product can be a physical good or a service provided by a seller. For example, a physical good might be a computer, while a service could be a haircut. Determine the value:The value of a product is based on various factors, such as the cost of production, demand, and competition. Both the buyer and seller need to agree on the value of the product for the transaction to take place.
Establish the form of exchange: The most common form of exchange for a price is money, which can be in the form of cash, credit, or other financial instruments. However, it's also possible for the exchange to occur through goods (barter system) or services (trade).Conduct the transaction:Once the product, value, and form of exchange are agreed upon, the transaction takes place. The buyer provides the agreed-upon payment to the seller, and in return, the seller provides the product or service to the buyer.
Completion of the exchangeThe exchange is completed when both parties have fulfilled their obligations – the buyer has provided the payment, and the seller has provided the product or service.In summary, the price is an essential component of any transaction, as it represents the agreed-upon value exchanged between a buyer and a seller to obtain a product or service. This exchange can take various forms, such as money, goods, or services, but ultimately serves as a way for both parties to understand and agree on the worth of the product in question.
More more such questions on price visit:
https://brainly.com/question/30434965
#SPJ11
michael's, incorporated, just paid $2.05 to its shareholders as the annual dividend. simultaneously, the company announced that future dividends will be increasing by 4.5 percent. if you require a rate of return of 8.7 percent, how much are you willing to pay today to purchase one share of the company's stock?
The correct answer is Option B: $25.50, willing to pay today to purchase one share of Michael's stock.
The dividend discount model must be used to determine how much you are willing to pay right now to buy one share of Michael's stock.
This model accounts for both the present payout and the anticipated rate of dividend growth over time.
The predicted dividend for the subsequent period is calculated as follows: $2.05 multiplied by 1.045 is $2.1573.
The formula P = D1/(1 + R), where P is the stock's price, D1 is the anticipated dividend for the following period, and R is the required rate of return, must then be used. When the numbers are entered, we obtain P = 2.1573 / (1 + 0.087) = $25.50.
As a result, you are prepared to spend $25.50 now to buy one share of Michael's stock.
Complete Question:
Michael's, Inc. just paid $2.05 to its shareholders as the annual dividend. Simultaneously, the company announced that future dividends will be increasing by 4.50 percent. If you require a rate of return of 8.7 percent, how much are you willing to pay today to purchase one share of Michael's stock?
A. $24.62
B. $25.50
C. $53.06
D. $16.23
E. $51.01
To learn more about dividend visit:
https://brainly.com/question/2960815
#SPJ4
please write a personal mission statement for yourself as a student at cmsru. how will cmsru help you fulfill your mission?
My mission in life is to live for other people i wish to make my abilities and skills available to others.Together with this, I wish to offer my assistance, especially to those who are in need.
I strive to have a positive influence on everyone I come in contact with every day of my life. I hope to practise law someday since I think it's a noble and respectable job. I aim to offer top-notch legal services.I want to be recognised as a brilliant and creative legal problem-solver. This will make my family proud of me and provide my career satisfaction.
It is a journalist's ethical responsibility to avoid conflicts of interest, real or made up. By declining gifts, favours, fees, free travel, and special treatment, stay away from political and other extracurricular activities that could damage credibility or compromise integrity.Whether they are covering current events, the financial market, sports, or entertainment news, journalists have a responsibility to respect a code of ethics. In order to avoid conflicts of interest that would endanger their neutrality or integrity, this is done.
To know more about ethics of journalism visit:
https://brainly.com/question/29423829
#SPJ4
ross textiles wishes to measure its cost of common stock equity. the firm's stock is currently selling for $70.67. the first just recently paid a dividend of $4, and future dividends are expected to increase by 6% a year. after flotation costs, the firm expects to net $69 per share on a new issue. calculate its cost of common equity with and without flotation costs.
Ross Textiles' cost of common equity with flotation costs is 11.97%, while without flotation costs are 12%.
To calculate the cost of common stock equity, we will use the Dividend Growth Model formula:
[tex]$$r_{s}= \frac{D_{1}}{P_{0}}+g$$$$[/tex]Where D1 is the dividend expected next year, P0 is the current stock price, and g is the growth rate of dividends.
First, let's calculate the dividend expected next year (D1):
D1 = D0 × (1 + g) = $4 × (1 + 6%) = $4 × 1.06 = $4.24Now, we will calculate the cost of common equity without flotation costs. We will use the current stock price (P0 = $70.67).
[tex]$$r_{s}[/tex] without flotation = \frac{D_{1}}{P_{0}}+g$$$$[/tex]= ($4.24 / $70.67) + 6%[tex]$$r_{s}= \frac{\$4.24}{\$70.67}+ \$6$$$$[/tex] = 0.06 + 0.06 = 0.12 or 12%Next, we will calculate the cost of common equity with flotation costs. We will use the net stock price after flotation costs (P0 = $69).
[tex]$$r_{s}[/tex] with flotation = [tex]$$r_{s}= \frac{D_{1}}{P_{0}}+g$$$$[/tex][tex]$$r_{s}= \frac{\$4.24}{\$69}+ \$6$$$$[/tex]= 0.0614 + 0.06 = 0.1214 or 12.14%So, Ross Textiles' cost of common equity without flotation costs is 12% and with flotation costs are 12.14%.
Learn more about common equity at https://brainly.com/question/17147773
#SPJ11
a financial security is a contract between the provider of funds and the user of the funds that clearly specifies the amount of money that has been provided and the terms and conditions of how the user is going to repay the provider. question 6 options: true false
Financial security is a contract between provider of funds and user of funds that specifies the amount of money provided and terms and conditions of how the user is going to repay - True/False
A financial security is a legal document that represents a loan or investment arrangement in which the lender and main borrower's terms and conditions are clearly mentioned. There are many kinds of financial assets which are to be considered. These generally include bonds, types of stocks, and trades, where each has a unique set of rules that must be followed.
Businesses, governments, and other organizations generate money by selling financial securities to fund their operations, growth strategies, or investments. With the ideal assistance of these securities, a money lender can get a return on their investment, either in the form of income payments or an increase in the security's worth.
Read more about Financial security on:
https://brainly.com/question/30309686
#SPJ4