Round to four decimal places. **Expected Return and Standard Deviation****a. What is the expected return of asset J?**The table below presents data about the state of the economy, probability of each state, and the returns on assets J, K, and L in each state:| State of Economy | Probability of State | Return on Asset J in State | Return on Asset K in State | Return on Asset L in State ||------------------|----------------------|----------------------------|----------------------------|----------------------------|| Boom | 0.26 | 0.050 | 0.190 | 0.250 || Growth | 0.38 | 0.050 | 0.100 | 0.190 || Stagnant | 0.21 | 0.050 | 0.030 | 0.080 || Recession | 0.15 | 0.050 | -0.070 | -0.190 |To find the expected return of asset J, you would calculate the weighted average of returns using the probabilities. This involves multiplying each return by the corresponding probability and summing the results:Expected Return of Asset J = (0.26 * 0.050) + (0.38 * 0.050) + (0.21 * 0.050) + (0.15 * 0.050)

Expected Return on stock J = sum of (Expected return * probability)Expected return is 5% and standard deviation is 0%

Expected return and standard deviation a. What is the expected return of asset J? Return on Asset J in Return on Asset K in Return on State of Economy Probability Asset L in of State State State State Boom 0.26 0.050 0.190 0.250 Growth 0.38 0.050 0.100 0.190 Stagnant 0.21 0.050 0.030 0.080 Recession 0.15 0.050 - 0.070 - 0.190

Expected return and standard deviation a. What is the expected return of asset J? Return on Asset J in Return on Asset K in Return on State of Economy Probability Asset L in of State State State State Boom 0.26 0.050 0.190 0.250 Growth 0.38 0.050 0.100 0.190 Stagnant 0.21 0.050 0.030 0.080 Recession 0.15 0.050 - 0.070 - 0.190

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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At what amount will accounts receivable be reported on the balance sheet if the gross receivable balance is $100,000 and the allowance for uncollectible accounts is estimated at 6% of gross receivables? a. $94,000 b. $60,000 c. $106,000 d. $100,000
If you are told that LSJ Company turns its accounts receivable over every 33 days…this would represent an example of what type of analysis: a. Vertical Analysis b. Horizontal Analysis c. Ratio Analysis
If the accounts receivable turnover is 42 days, what is the account receivable turnover ratio? * a. 7.14 times b. 8.69 times c. None of the choices d. 4.52 times
Presented below is information for Blossom Company for the month of January 2017. Cost of goods sold $202,200 Rent expense 6,400 Sales discounts $33,600 Freight-out 8,100 Insurance expense 12,500 Sales returns and allowances 17,600 Salaries and wages expense 64,000 Sales revenue 395,500 Income tax expense 4,200 Other comprehensive income (net of $400 tax) 2,000
Complete the following table by finding the net price factor, single equivalent discount, trade discount (in dollars), and net price (in dollars). Round the net price factor and single equivalent discount to five decimal places, and the trade discount and net price to the nearest cent, when necessary. List Price: $650.70 Trade Discount Rate: 31/15/5
At January 1, 2025, Pembina Imports Inc. reported this information on its balance sheet. Accounts receivable Less: Allowance for expected credit losses 1. During 2025, the company had the following summary transactions related to receivables and sales. Pembina uses the perpetual inventory system. Pembina expects a return rate of 3%. 2. 3. 4. $696,000 5. 44,800 Sales on account amounted to $2,800,000. The cost of the inventory sold was $2,100,000. Goods with a total sales price of $44,800 and a cost of $33,600 were restored to inventory. Collections of accounts receivable were $2,464,000. Write-offs of accounts receivable deemed uncollectible, $50,400. Recovery of credit losses previously written off as uncollectible, $16,800.
Solve for the unknown. Round decimals to hundredths and percents to the nearest tenth. 3,600 decreased by 18.8%
compute number of days sales in receivables round your calculation and answer assume 365 days ina year
In cell B7, enter a formula using relative cell references that multiply cell B6 from cell B5.
Determine the amount of sales revenue Franklin will report on its first quarter pro forma income statement. (Do not round intermediate calculations. Round final answers to two decimal places.) Sales revenue
us Kimmel, tinancial Accounting, Be US eo 1 Srstom Announcements CALCATO Brief Exercise 8-10 Piet ts first vear of operations, Pronghorn Corp had credit sales of $2,714,100, of which $429,000 remained uncollected at year-end. The credit manager estimates that $16,370 of these recevahles w be Prepare the journal entry to record the estimated uncollectibles. (Assume an unadjusted balance of zero in Allowance for Doubtful Accounts.) (Credit account titles are automatically indented whee ment c indent manually.) Account Titles and Explanation Debit Credit SHOW LIST OF ACCOUNTS LINK TO TEXT LINK TO TEXT INTERACTIVE TUTORIAL INTERACTIVE TUTORIAL Prepare the current assets section of the balance sheet for Pronghorn Corp, assuming that in addition to the receivables it has cash of $85,320, merchandise inventory of $163,960, and supplies of $13,290. (List current a arder of liquidity) Pronghorn Corp Balance Sheet (partial) wT O secouNTS
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