Homework Answers
Add Answer to:
3. The following investments are available at a price of $10,000 each: Investment: Expected net returns:...
Returns. What are the returns on the following investments, Original Cost of Investment Selling Price of Investment Dis...
Returns. What are the returns on the following investments, Original Cost of Investment Selling Price of Investment Distributions Percent Return Investment Received % (Round to two decimal places.) $400 $420 CD S0 - X Data Table (Click on the following icon in order to copy its contents into a spreadsheet) Original Cost of Investment Selling Price of Investment Distributions Investment Percent Retur Received $420 CD $400 S0 Stock $28 $20 $2 $950 Bond $900 $80 Car $40,000 $16,000 $0 ?
Problem 8-05 Two investments generated the following annual returns: Investment x 13% Investment Y 24% 22...
Problem 8-05 Two investments generated the following annual returns: Investment x 13% Investment Y 24% 22 19 20x0 20X1 20x2 20x3 20X4 16 a. What is the average annual return on each investment? Round your answers to one decimal place. The average annual rate of return on X: The average annual rate of return on Y: b. What is the standard deviation of the return on investments X and Y? Round your answers to two decimal places. Standard deviation of...
Problem 8-05 Two investments generated the following annual returns: Investment X Investment Y 20x0 13% 17...
Problem 8-05 Two investments generated the following annual returns: Investment X Investment Y 20x0 13% 17 % 20X1 24 20X2 18 20x3 14 20X4 12 a. What is the average annual return on each investment? Round your answers to one decimal place. The average annual rate of return on X: % The average annual rate of return on Y: b. What is the standard deviation of the return on investments X and Y? Round your answers to two decimal places....
2- You have estimated the following probability distributions of expected future returns for Stocks X and...
2- You have estimated the following probability distributions of expected future returns for Stocks X and Y: (2 marks) Stock X Probability Return 0.4 -20 0.5 0.1 2a- What is the expected rate of return for Stock X? 2b- What is the standard deviation of expected returns for Stock X?
3% 1. Here are the probability distributions for three investment project returns: Up (prob = Down...
3% 1. Here are the probability distributions for three investment project returns: Up (prob = Down (prob = 0.4) 0.6) 5% -2% -2. 5% 14% -8% a. Without calculation, which two assets (X&Y, Y&Z, or X&Z) can reach the goal of diversification, which not? Explain. b. Calculate the expected return and standard deviation of each project and explain which one a rational investor would choose. c. Given your answer in part a., if you can only split your investment by...
Consider two $60,000 investments – call them Investment A and Investment B. Both investments will...
Consider two $60,000 investments – call them Investment A and Investment B. Both investments will earn $5,000 with a probability of 0.5 and $1,000 with a probability of 0.5. Investment A will use 100% equity financing (issuing stocks). Investment B will get $30,000 through issuing stocks and $30,000 through issuing bonds. Investment B must pay 4% interest on the bonds. a. Calculate the expected returns on equity (returns after interest payments divided by the amount of equity) for Investment A...
3) Assume that two independent investments opportunities, X and Y, exist in the market. Investment provides...
3) Assume that two independent investments opportunities, X and Y, exist in the market. Investment provides an expected return of 12% with a standard deviation of 12%, while investment Y yields 10% return with a standard deviation of 10%. a. Calculate the expected return for a portfolio that consists of 40% of X and 60% of Y. b. What is the standard deviation of such portfolio?
Returns. What are the returns on the following investments? Original Cost Selling Price of Investment of...
Returns. What are the returns on the following investments? Original Cost Selling Price of Investment of Investment Distributions Percent Return $100 $23 $160 $10 $1,100 523,000 S0 $2 $80 S0 Bond Car $1,040 $53,000 Original Cost $100 S23 $1,040 Selling PriceDistributions of Percent Retum CD Stock Bond $160 $10 1,100 S0 S2 $80 60 % (Round to two decimal places.) -4783 % (Round to two decimal places.) I 500-1 % (Round to two decimal places )
You plan to make an investment. given the following probability distribution of returns, what is the...
You plan to make an investment. given the following probability distribution of returns, what is the expected return on the investment ? if the standard deviation of the return is $77,460, what is the CV of the investment ? market condition probability profit $000' good 30% 300 normal 40% 200 bad 30% 100
You are considering investing in two securities, X and Y. The following data are available for...
You are considering investing in two securities, X and Y. The following data are available for the two securities: Security X Security Y Expected return 0.09 0.02 Standard deviation of returns 0.04 0.06 Beta 1.00 0.85 Round your answers to two decimal places. If you invest 40 percent of your funds in Security X and 60 percent in Security Y and if the correlation of returns between X and Y is +0.45, compute the following: The expected return from the...
Returns. What are the returns on the following investments, Original Cost of Investment Selling Price of Investment Distributions Percent Return Investment Received % (Round to two decimal places.) $400 $420 CD S0 - X Data Table (Click on the following icon in order to copy its contents into a spreadsheet) Original Cost of Investment Selling Price of Investment Distributions Investment Percent Retur Received $420 CD $400 S0 Stock $28 $20 $2 $950 Bond $900 $80 Car $40,000 $16,000 $0 ?
Problem 8-05 Two investments generated the following annual returns: Investment x 13% Investment Y 24% 22 19 20x0 20X1 20x2 20x3 20X4 16 a. What is the average annual return on each investment? Round your answers to one decimal place. The average annual rate of return on X: The average annual rate of return on Y: b. What is the standard deviation of the return on investments X and Y? Round your answers to two decimal places. Standard deviation of...
Problem 8-05 Two investments generated the following annual returns: Investment X Investment Y 20x0 13% 17 % 20X1 24 20X2 18 20x3 14 20X4 12 a. What is the average annual return on each investment? Round your answers to one decimal place. The average annual rate of return on X: % The average annual rate of return on Y: b. What is the standard deviation of the return on investments X and Y? Round your answers to two decimal places....
2- You have estimated the following probability distributions of expected future returns for Stocks X and Y: (2 marks) Stock X Probability Return 0.4 -20 0.5 0.1 2a- What is the expected rate of return for Stock X? 2b- What is the standard deviation of expected returns for Stock X?
3% 1. Here are the probability distributions for three investment project returns: Up (prob = Down (prob = 0.4) 0.6) 5% -2% -2. 5% 14% -8% a. Without calculation, which two assets (X&Y, Y&Z, or X&Z) can reach the goal of diversification, which not? Explain. b. Calculate the expected return and standard deviation of each project and explain which one a rational investor would choose. c. Given your answer in part a., if you can only split your investment by...
Returns. What are the returns on the following investments? Original Cost Selling Price of Investment of Investment Distributions Percent Return $100 $23 $160 $10 $1,100 523,000 S0 $2 $80 S0 Bond Car $1,040 $53,000 Original Cost $100 S23 $1,040 Selling PriceDistributions of Percent Retum CD Stock Bond $160 $10 1,100 S0 S2 $80 60 % (Round to two decimal places.) -4783 % (Round to two decimal places.) I 500-1 % (Round to two decimal places )
Most questions answered within 3 hours.
-
IN PYTHON ONLY !! Program 2: Re-work
program #5 (WeeklyHours) from the previous assignment such that...
asked 2 minutes ago -
The average length of time between arrivals at a turnpike
toll-booth is 26 seconds. What is...
asked 1 hour ago -
(a) A piston at 6.1 atm contains a gas that occupies a volume of
3.5 L....
asked 2 hours ago -
Please answer true or false. Words
cannot be changed or added in to make it true...
asked 2 hours ago -
An empty test tube weighs 15.923 grams. Then,
MgCl2•6H2O is added into the test tube. After...
asked 2 hours ago -
Assume memory access is 10 units of time and disk access is
10000 units of time....
asked 3 hours ago -
1. Are all good samples random?
2. Magazines often report surveys giving statistics such as “63%...
asked 3 hours ago -
Under all the various types of market structures, firms
must eventually earn some economic profits for...
asked 3 hours ago -
Consider the following fitness regime for a single locus trait
with two co-dominant alleles: w11 =...
asked 3 hours ago -
A large cable company reports the following.
80% of its customers subscribe to its cable TV...
asked 3 hours ago -
Please answer the question in brief.
Discuss the role of ERP in organizations. Are ERP tools...
asked 3 hours ago -
Discuss the pros and cons of collaborative software such
as SameTime. Does it increase productivity? What...
asked 3 hours ago