(Weighted Averages MC)Use the table to answer the question that follows.RORPortfolio 1 Portfolio 2 Portfolio 37.3%$1,150 $800$1,1001.8% $1,825$2,500$5252.7%-6.7% $1,40510.4% $1,045$1,450$250$825$1,200$1,880$400$2,225Using technology, calculate the weighted mean of the RORs for each portfolio. Based on the results, which list shows a comparison of the overall performance of the portfolios,from best to worst?O Portfolio 3, Portfolio 1, Portfolio 2Portfolio 2, Portfolio 3, Portfolio 1O Portfolio 1, Portfolio 2, Portfolio 3O Portfolio 3, Portfolio 2, Portfolio 1

Step 1: The formula to calculate weighted mean of ROR is…

Answered: (Weighted Averages MC) Use the table to…

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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三 An investor owns $3.000 of Adobe Systems stock, $6.000 of Dow Chemical, and $7,000 of Office Depot What are the portfolio weights of each stock? (Round your answers to 4 declmal places.) Portfolio weights Adobe System Dow Chemical Office Depot లడిస సటర్ బలలర్ 1 of 6 Next > here to search F4 F5 F7 F8 Coc-a
6. Multiple Choice $25,116. $24,384. $20,833. $21,458.
Calculate ABC’s price per share using the median peer P/E ratio. Peers P/E EPS 1 15.23 3.10 2 25.50 2.90 3 119.12 2.70 4 37.50 2.10 5 68.12 1.75 6 51.25 1.80 Industry 21.50 1.76 ABC 20.00 3.15 $129.62 $151.42 $139.78 $189.50
10. please answer part b thanks
20Y8 20Υ7 20Υ6 20Y5 20Υ4 Net income $1,120,400 $965,900 $811,700 $693,800 $588,000 Interest expense 380,900 347,700 300,300 229,000 182,300 Income tax expense 358,528 270,452 227,276 180,388 141,120 Total assets (ending balance) 6,308,280 6,633,962 4,788,646 4,965,740 3,765,686 Total stockholders' equity (ending balance) 2,021,243 2,424,789 1,550,109 1,918,695 1,151,217 Average total assets 6,471,121 5,711,304 4,877,193 4,138,117 3,517,352 Average stockholders' equity 2,223,016 1,987,449 1,734,402 1,534,956 1,342,466 You have been asked to evaluate the historical performance of the company over the last five years. Selected industry ratios have remained relatively steady at the following levels for the last five years: 20Y4-20Y8 Return on total assets 22.9% 47.2% Return on stockholders' equity 4.6 Times interest earned 2.1 Ratio of liabilities to stockholders' equity Required: 1. Determine the following for the years 20Y4 through 20Y8. Round to one decimal place: a. Return on total…
D4) Finance Consider a portfolio composed of shares AAA and BBB as shown in the following table. At 95% confidence level, select the correct statement AAA BBB Value 2,470,000 785,750 % investment 76% 24% Volatilities 2.32 % 2.69 % Correlation for both assets 0.65 Portfolio Value for both assets 3,255,750 a) The Component VaR of the Asset AAA is 92,223 and the component VaR of the Asset BBB is 27955.69 b) The contribution to the VaR of the Asset AAA is 77% and the one of the Asset 2 is 23% c) Both answers are correct
What is the amount of the total paid-in capital? What makes up this amount?
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Question content area top Part 1 (Capital asset pricing model) Anita, Inc. is considering the following investments. The current rate on Treasury bills is 7 percent, and the expected return for the market is 12.5 percent. Using the CAPM, what rates of return should Anita require for each individual security? Stock Beta H 0.71 T 1.62 P 0.89 W 1.37 (Click on the icon in order to copy its contents into a spreadsheet.) Question content area bottom Part 1 a. The expected rate of return for security H, which has a beta of 0.71, is enter your response here%. (Round to two decimal places.) Part 2 b. The expected rate of return for security T, which has a beta of 1.62, is enter your response here%. (Round to two decimal places.) Part 3 c. The expected rate of return for security P, which has a beta of 0.89, is enter your response here%. (Round to two decimal places.) Part 4 d. The expected rate of return for…
Consider the following information on two stocks: P(State) Stock A Stock B Boom 20% 30% 20% Normal 50% 12% -5% Slow 15% 4% 8% Recession 15% -10% 10% Calculate the covariance(A,B). (Enter percentages as decimals and round to 4 decimals)
Please break it down meaning the excel calculations that is needed for each empty box.
tol Processing ng Help Save & Exit Submit Saved Practice Problems i Check my work Eaton Electronic Company's treasurer uses both the capital asset pricing model and the dividend valuation model to compute the cost of common equity (also referred to as the required rate of return for common equity). Assume: Rf = 7% Km 10% = 1.6 D1 = $ 0.70 $ 19 8% %3D PO = nt a. Compute Ki (required rate of return on common equity based on the capital asset pricing model). (Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.) ences Ki b. Compute Ke (required rate of return on common equity based on the dividend valuation model). (Do not round intermediate calculations, Input vour answer as a percent rounded to 2 decimal places.) < Prev 10 of 10 Next Mc Graw Hill 149 MacBook Air

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