INseume that an investor has formed a portfolio of Awo nesets; aBset A and aset B,if he invested 30% of his weath in aSset A. Tf the return on asset A 1s 20% CInd the return on the gsset BB HDt, the weight of the weath invested in 13set B 1S. (a) 70% O we cannot find the weight d) 60% | Referring to question 1o above the portfolio's return 15 H0% () 30%

Q: Prepare the following a. Direct method  b. Step-down method (allocate MR first)  c. Step-down…

A: Part a: Direct Method: Workings:

Q: Can you make the answer of number 5 a well-explained or thoroughly explained?

A: The coefficient of variation is a statistical tool that measures the risk level by considering the…

Q: do you have the answer in a different format using equations

A: The present value is the present worth of the amount that will be paid or received in the future.

Q: state two (2) strengths and two (2) weakness of focus interviews

A: The objective of this question is to identify and explain two strengths and two weaknesses of focus…

Q: ontal and vertical analysis. Which type of analysis did you do?

A: In selecting the company for investment it is quite necessary to develop the financial statment and…

Q: A friend of yours tells you she holds an American call option that is very deep- in-the-money. She…

A: Deep in the money is an option where the exercise price is significantly lower than the current…

Q: What do you mean by put option? Explain in 2 - 3 sentences

A: A Put option is an instrument which provides its holder an option to sell an underlying asset on a…

Q: Can you please step this out line by line (not all in one line) and state the formula used

A: The concept of time value of money states that worth of money changes with passage of time. This is…

Q: 5 Consider the following information: Probability of Rate of Return if State Occurs Economy…

A: The expected return is the amount of return expected from the investment. Standard deviation is a…

Q: What is Single stage-Two envelopes procedure and Two stage-Two envelopes procedure?

A: When a company wants to auction its product or assets to other party for the purpose of obtaining…

Q: Write two examples of SWOT analysis

A: 2. SWOT analysis for Sedibeng Breweries Strength: Capital stock: A strong capital base has been…

Q: Write the two types of compounding situations?

A: Interest is characterized as the getting cash cost, as on account of premium charged on equalization…

Q: What is the after announcment?  This is from question a.

A: Debt Value = $2,700,000Current Debt-to-equity ratio = 30%Increased Debt-to-equity ratio = 50%EBIT =…

Q: What is the owner's draw? Give three examples?

A: Owner’s draw: Person one who withdraws money or goods from his own business for his /her personal…

Q: b/ Which theory best explains these three term structure facts?

A: The three term structure facts that are commonly referenced in finance literature are: The yield…

Q: e for e

A: Interest is a concept which arises when the money borrowed by the borrower has to be [aid along with…

Q: 1. Sona Manufacturing provided the following information for last month: 3. Sales Variable Costs…

A: There are two type of costs that are being incurred in business. One is fixed costs, which will not…

Q: is part b answered in this?

A: Ledger posting. : When any transaction is made journal entry is passed, after that those entries are…

Q: CCA

A: Introduction: The term capital cost allowance or CCA refers to the tax term with a view to claim…

Q: n the question, it says he has three alternatives. What would the third alternative be?

A: In finance the chances of an event occurring can change the status quo and hence change the expected…

Q: Where is the answer for number 4 and 5 answe

A: The following types of Financial statements as follows under:- Balance Sheet. Income Statement.…

Q: Can you answer the last three please

A: 1. Income Statement - Income Statement include income earned and expenses incurred during the…

Q: Lena Horn bought a Toyota Tundra on January 1 for $30,800 with an estimated life of 6 years. The…

A: a. Depreciation per annum = ( Cost - Salvage value) / Useful life

Q: where is the rest of teh answers

A: 1. Income Statement - An income Statement is a financial statement that includes revenue earned and…

Q: ansawer

A: Where a partnership itself is generally not subject to income tax, individual partners (including…

Q: What is the dual aspect term

A: solution concept Dual aspect                 Each and every transaction shall be recorded by giving…

Q: What is a three-way match? Give an example?

A: Three-way Match: The verification of the purchase transaction by the accounts payable department is…

Q: Describe a three-way match.

A: Accounting Information System (AIS):   The system which helps to gather, store and process the…

Q: two questions

A: Prepare an income statement.

Q: Where does the 12 come from in the second step?

A: Sales price = Cost per unit + Profit per unit  Cost = Direct material + Direct labor + Manufacturing…

Q: What is Hamada equation?

A: The Hamada Equation : The Hamada equation is a method used to analyse the cost of capital of firm.…

Q: What is forward points?

A: Forward points are nothing but basis points added or subtracted from the spot rate of an underlying…

Q: Determining current portion of long-term note payable On January 1, Irving Company purchased…

A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…

Stock Market Indices

Stock indexes are used to compare the price fluctuations of a group of stocks of similar companies, which are combined based on a similar industry or a particular market capitalization limit or type of market. The price comparison is based on a pre-determined standard method or indicators. These stock indexes are usually considered a base for comparison of a particular stock, and the performance of that particular company can be easily determined.