Q: The manager put a plan to reduce the selling period in the (2020) by (16.7%) fron the previous year ...
A: Inventory turnover shows the rate by which an entity sold it goods and replaces its inventory during...
Q: Stocks A and B have the following historical returns: Year Stock A return Stock B return ...
A: “Since you have posted a question with multiple sub-parts, we will solve first three subparts for yo...
Q: James saves $40 a month using coupons. Assuming an interest rate of 2%, what is the future value of ...
A: Annuity refers to series of annual payment which is paid or received at start or ending of specific ...
Q: The refusal of a client’s attorney to provide the information requested in an inquiry letter is co...
A: The refusal of a client is attorney to provide the information requested in an inquiry letter is con...
Q: Please solve the question below. Aero Motorcycles is considering opening a new manufacturing facilit...
A: The Project is not feasible, since NPV is -987983.74 Workings ...
Q: Cecil, Inc. has sales of $682,100. Earnings before interest and taxes is equal to 20 percent of sale...
A: Profit margin: This ratio indicates the percentage of sales which converted into profit. It is compu...
Q: A utility company is considering the following plans to provide certain service required by the pres...
A: Plan R Initial investment=500,000 Annual costs=50,000+2% of 500,000=50,000+10,000=60,000 PV of Annua...
Q: 31. An inverted yield curve: a. exists when short-term interest rates are higher than long-term inte...
A: The yield curve is a graphical representation of yields vs its maturities.
Q: The Rogers Company is currently in this situation: (1) EBIT = $4.7 million; (2) tax rate, T = 40%; (...
A: Perpetual debt is the debt which is not redeemed by the firm during its life. Sometimes this type of...
Q: How much (in dollars) is needed in an account that earns 9.6% compounded monthly to withdraw $1,000 ...
A: Present Value of annuity = P * {1-[1/(1+r)^n]/r} where, r = rate of interest per period i.e. 9.60% /...
Q: Lucky Cement is trying to establish its optimal capital structure. Its current capital structure con...
A: Firstly, unlever the beta with the following formula: Unlevered Beta=β1+DE(1-t)Where,β=Beta (given)D...
Q: 7. Amanda borrowed $57 800 from BMO to buy a 2014 E-Class Mercedes Sedan at 3.9% compounded monthly....
A: GIVEN, PMT = $2056 RATE = 3.9% per year = 3.9%12per year PV= $57,800 USING FINANCIAL CALCULATOR, TO ...
Q: You owned 300 shares of Microsoft stock. But you just sold 100 shares this morning. Which one of the...
A: Primary market: The primary market is a place where issue of securities at first time. In this mar...
Q: Just solve on white paper or typed. Not in excel.
A: Table is shown below-
Q: Q.How can annuity help in having a good benefit proposal for workers?
A: Benefit proposal is the proposal which is offered by a firm to the employees or potential employees ...
Q: In building their plant, the officers of the International Leather Company had the choice alternativ...
A: cost of capital =20% Period =10years Present value FACTOR =1-(1+r)-n/r Present value FACTOR =4.19 A...
Q: 2. An A firm has sales of $10 million, variable costs of $4 million, fixed expenses of $1.5 million,...
A: Leverages means leakage of funds. Firm have to pay fixed amount in every period due to which cash go...
Q: e year from now. She can save Rs. 5000 per y ck market., which expect to provide average ret ur advi...
A: interest rate =9% Period =25 years Annual deposit =5000 Future value FACTOR =(1+r)n-1/r Future valu...
Q: design a budget of fixed labour and variable budget for canadian cancer care society
A: A budget that does not take into account any conditions that are different from those on which the i...
Q: 4466 Admit it Sometimes the projects you're working on (school, work, or both) can pretty boring and...
A: 10-15. Pfizer has adopted the business strategy of outsourcing. It outsources its tedious and time c...
Q: Assume that an investor has formed a portfolio of two assets; Asset A and Asset B. if he invested 30...
A: Given data; Weight of asset A = 30% return on asset A = 20% return on asset B = 40%
Q: 1A)EVALUATE THE ROLE PLAYED BY MARKET DISCLOSURE IN BANKING INSTITUTIONS B.? B) DISCUSS THE TYPES AN...
A: Market disclosure refers to the situation when the institutions are required to disclose the certain...
Q: An employee is earning P 18,511 a month and he can only afford to purchase a car which will require ...
A: salary =18511 monthly payment =0.3×18511=5553.3 monthly payment =5553.3 Period =4 years =48 months ...
Q: Month Madison Cookies Sophie Electric 1 -0.04 0.07 2 0.06 -0.02 3 -0.07 ...
A: The mathematical formula represented for computation is:
Q: What is the future value of $850 deposited for one year earning an 10 percent interest rate annually...
A: Future value of a sum of money refers to the worth of that sum of money on a specific time in the fu...
Q: How will you collect, classify and present statistical data?
A: For statistical analysis, there are several methods used to gather or collect data. Three of the mos...
Q: Suppose you invest $3,500 today, compounded monthly, with an annual interest rate of 8.50%. What amo...
A: When the interest rate compounds monthly, the monthly interest rate should be considered i.e. 8.50%/...
Q: What is the payback period of the following data?Investment Costs --------- P 22,000Maintenance Cost...
A: Payback period = years before full recovery + (unrecovered cost at the start of the year / cashflow ...
Q: Stocks A and B have the following historical returns: Year Stock A return Stock B return ...
A: Note: As per Bartleby guidelines, only 3 parts can be answered. Given information: Year Stock ...
Q: Castillo’s Warehouse will need to purchase a new forklift for its warehouse operations three years f...
A: Time value of money is one of the most fundamental and basic concepts of investing. The phrase “Time...
Q: You are offered an add-on loan for $4,500 at 18% for 5 years. What is the monthly payment? What ...
A: S.I.=PRT/100 S.I.= 4500*18*5/100 S.I.= 4050 Monthly Payment= P+S.I. (for 60 period= 12*5 years) = ...
Q: As a poverty alleviation tool, microfinance is sustainable and becoming more widely used and commerc...
A: In any economy, small business owners face difficulties in obtaining capital from conventional banki...
Q: Which of the following is not a fixed cost?a. Direct materialsb. Depreciationc. Lease charged. Prope...
A: Fixed cost is the cost which will be borne by the company irrespective of the units produced.
Q: CAPITAL BUDGETING CRITERIA You must analyze two projects, X and Y. Each project costs $10,000, and t...
A: Hi, since there are multiple questions posted, we will answer first three questions. If you want any...
Q: Calculate the value where you find question mark “?”. All values should be determined up to four dec...
A: The missing values can be calculated in excel as follows:
Q: You invest $ 12 300 of your money in a locked-in savings account that earns 4.92% compounded monthly...
A: The most fundamental TVM formula takes into account the following variables: FV = Future value of m...
Your rate of retum expectations for the common stock of Company during the next year are:
Possible Rate of Return Probability
- 0.10 0.25
0.00 0.15
0.10 0.35
0.25 0.25
Required: Compute the expected return [E(R)] on this investment, the variance of this returm
, and its standard deviation
Step by step
Solved in 2 steps
- Your expectations from a one year investment in Wang Computers are as follows: Probability Rate of Return .15 -.10 .15 -.20 .35 .00 .25 .15 .10 .15 expected rate of return? standard deviation? coeefecient of variation on investment?14. Consider the following possible returns over the next year on an asset Return probability -£40 0.5 £40 0.5 What is the variance of return of the asset.Consider a stock where the current price is Ksh.120, the expected return is 20% per annum, and the volatility is 40% per annum. The expected stock price, E(ST) Þ, and the variance of the stock price, Var(ST), in 1 year.
- Calculate the (a) expected return, (b) standard deviation, and (c) coefficient of variation for an investment with the following probability distribution: Probability Payoff 0.45 32.0% 0.35 -4.0% 0.20 -20.0%An investor has an investment that has produced the following returns: Year 1: 10%, Year 2: 5%, Year 3: -7%, Year 4: -3%, Year 5: 12%. Calculate the arithmetic mean return on this investment. O 6.75 O 17.00 3.40 8.50uppose the average return on Asset A is 7.1 percent and the standard deviation is 8.3 percent, and the average return and standard deviation on Asset B are 4.2 percent and 3.6 percent, respectively. Further assume that the returns are normally distributed. Use the NORMDIST function in Excel® to answer the following questions. a. What is the probability that in any given year, the return on Asset A will be greater than 12 percent? Less than 0 percent? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) b. What is the probability that in any given year, the return on Asset B will be greater than 12 percent? Less than 0 percent? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) c-1. In a particular year, the return on Asset A was −4.38 percent. How likely is it that such a low return will recur at some point in the future? (Do not round…
- The following table is an analyst's best guess for the likelihood of various states of the economy next year and the corresponding return on the stock of EFG Corp. State of the Expected Return Economy Probability (%) Ideal 0.2 20.0 Good 0.4 15.0 Fair 0.3 8.0 Poor 0.1 -10.0 What is the expected percentage rate of return on EFG Corp. stock? Group of answer choices 3.4 10.4 10.8 11.4 not enough informationSuppose the average return on Asset A is 6.6 percent and the standard deviation is 8.6 percent and the average return and standard deviation on Asset B are 3.8 percent and 3.2 percent, respectively. Further assume that the returns are normally distributed. Use the NORMDIST function in Excel® to answer the following questions. a. What is the probability that in any given year, the return on Asset A will be greater than 11 percent? Less than 0 percent? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) b. What is the probability that in any given year, the return on Asset B will be greater than 11 percent? Less than 0 percent? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) c-1. In a particular year, the return on Asset A was −4.25 percent. How likely is it that such a low return will recur at some point in the future? (Do…Suppose the returns on an asset are normally distributed. The historical average annual return for the asset was 5.2 percent and the standard deviation was 10.6 percent. a. What is the probability that your return on this asset will be less than –9.7 percent in a given year? Use the NORMDIST function in Excel® to answer this question. b. What range of returns would you expect to see 95 percent of the time? c. What range of returns would you expect to see 99 percent of the time?
- Consider the following information regarding a new investment that a company intends toundertake:.State of the Economy Probability Market Return Investment ReturnExpansion 0.30 40% 60%Normal 0.50 10% 25%Recession 0.20 -15% -40%a). Compute the variance and standard deviation of each b). Compute the correlation between the market the investment return(s) c). Compute the beta of the investment d). Assuming the risk free rate is 5% p.a. Compute the required rate return and advice if the investment is worth undertaken.What are the (a) expected return, (b) standard deviation, and (c) coefficient of variation for an investment with the following probability distribution? Probability Payoff 0.2 19.0% 0.7 9.0 0.1 4.0.An analyst believes that economic conditions during the next year will either be strong, normal, or weak, and she thinks that the Corrigan Company's returns will have the following probability distribution. Conditions Probability (%) Return (%) Strong 30 30 Normal 40 15 Weak 30 -10 What is Corrigan’s expected return? What is Corrigan’s standard deviation of returns?