Assume the following information concerning a two-stock portfolio:
Stock X Stock Y
Percent of Portfolio 33% Please calculate it first
Average annual return 14.85% 5.63%
Standard deviation of returns 4.7% 11.6%
Covariance of returns 35
Calculate the standard deviation of the portfolio using Markowitz formula.
Round the answers to two decimal places. (Write the percentage sign in the "units" box).

Answers

Answer 1

The standard deviation of the portfolio is 9.81%.

To calculate the standard deviation of the portfolio, we can use the Markowitz formula:

σp = sqrt(w1^2σ1^2 + w2^2σ2^2 + 2w1w2*covariance)

where:

w1 and w2 are the weights of Stock X and Stock Y in the portfolio respectively.

σ1 and σ2 are the standard deviations of Stock X and Stock Y respectively.

covariance is the covariance between the returns of Stock X and Stock Y.

Using the given information, we have:

w1 = 33% = 0.33

w2 = 67% = 0.67 (since the sum of weights must equal 100%)

σ1 = 4.7%

σ2 = 11.6%

covariance = 35

Substituting these values into the formula, we get:

σp = sqrt((0.33^2)(0.047^2) + (0.67^2)(0.116^2) + 2*(0.33)*(0.67)*35)

σp = 9.81%

Therefore, the standard deviation of the portfolio is 9.81%.

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Related Questions

in three to four sentences, describe how you can listen actively.

Answers

Active listening involves fully focusing on the speaker, showing genuine interest in what they're saying, and asking clarifying questions to ensure understanding.

What else does active listening entail?

It also includes nonverbal cues such as maintaining eye contact and nodding in agreement.

Active listening requires withholding judgment or interrupting the speaker, and instead reflecting on what they've said before responding.

This approach fosters better communication, trust, and empathy between the listener and speaker.

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How do you get cheap airline tickets?

Answers

If you order the tickets 54 days before your flight, they’re usually cheaper!!

Or

If you visit a site that to buy the tickets, turn on your incognito mode! Because prices go up if you visit that site more than once!!

Yw

A debit memorandum would not be issued by the bank for

A. the wiring of funds.B. a bank service charge. C. the issuance of traveler's checks. D. the collection of a notes receivable.

Answers

Out of the given options, the correct answer is C. the issuance of traveler's checks. A debit memorandum is a document issued by a bank to inform an account holder about a deduction or decrease in their account balance. It serves to record transactions that result in a decrease in funds.

When a customer purchases traveler's checks from a bank, it is a form of payment made to the bank. The customer pays a specific amount in exchange for traveler's checks, which can be used as a safe and convenient form of currency when traveling. Therefore, the issuance of traveler's checks does not result in a decrease in the customer's account balance, as the customer has already paid for them. Consequently, there is no need for the bank to issue a debit memorandum for this transaction. In contrast, options A, B, and D involve activities that would result in a decrease in the customer's account balance and, therefore, may require a debit memorandum. Wiring funds (option A) involves transferring money out of the customer's account. Bank service charges (option B) and the collection of a notes receivable (option D) both result in deductions from the customer's account.

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Jim and Jane purchased their house a year ago and have been transferred out of town. They paid $275,000 for the property and ended up after expenses with only $225,000. Their percentage of loss on the sale was:

Answers

Answer:

18%

Explanation:

Original cost: $275,000

Selling price: $225,000

Loss: $50,000

50,000/275,000=0.18

0.18x100=18%

:)

Meg's company decided to build an additional factory in a small community. When the community started a protest because of the negative impact the factory would potentially have, Meg's company promised to prevent and pay for any negative impact to the community. It also offered to build a community park to balance out the negative impact the factory might cause. Which moral standard of social responsibility is the business observing?

Answers

Answer:

Corporate Citizen Moral Standard

Explanation:

The reason is that the company have to meet its social standards and the legal requirements which the jurisdiction imposes on it, which is Corporate Citizen Moral Standard. Furthermore, for this reason the company has promised that they will try their best to prevent any negative impact and if there are such cases then it will compensate them as well, which is their legal requirement. They also had offered to build a community park which is the requirement of their social standards.

5.1 The Implementing Function

Answers

Putting a strategy into action is what is meant by implementation. Beginning with a specific issue they want to address or a strategy they want to implement, managers create a plan to address it.

What is the purpose of implementation?

The act of carrying out a plan, a method, or any other design, idea, model, specification, standard, or policy is known as implementation. As a result, for something to actually occur, action must come after any previous thinking.

What is the C implementation of a function?

Functions in C have to be defined before they may be utilized. They can either be stated in a header file or at the start of the C code and then implemented afterwards, or they can be implemented in the order they are used (less preferable).

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Which action would a government most likely take to reduce its
unemployment rate?
A. Use tax money to hire workers for government projects
B. Cut taxes on businesses that operate with very few workers
C. Increase taxes on businesses that operate outside the country
D. Cut off loans to businesses in order to reduce the money supply
SUBMIT

Answers

A; sounds like the best option

The unemployment rate is the unemployed divided by the sum of employed and unemployed, in order to reduce it the government can hire workers for a new project by using tax money.

What is the unemployment rate?

It is the rate of unemployment calculated by the number of people unemployed to the total number of people employed and unemployed multiplied by 100.

In order to reduce it, the government can hire workers for a new project by using tax money

Therefore, option A can help in the reduction of the unemployment rate.

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SweetSeed Inc. has accounts payable of 29,000,000 Japanese yen (JPY), which are due within one year. The spot rate for the yen is 0.0127 U.S. dollars, the forward rate for the yen is 0.0144 US dollars. The annual savings and borrowing rates in Japan are 7% and 12%, respectively. The annual savings and borrowing rates in the U.S. are 9% and 12%, respectively. If the company wants to lock in the exchange rates using the money market hedge, the payment (in U.S. dollars) to the bank in a year would be:
a.385,510
b.351,858
c.358,435
d.378,437

Answers

The correct option is (c). The payment to the bank in a year using the money market hedge would be 358,435 U.S. dollars.
To lock in the exchange rates using the money market hedge, SweetSeed Inc. needs to borrow Japanese yen and then exchange it into U.S. dollars at the spot rate.

Calculation steps:
1. Calculate the amount to be borrowed in yen: 29,000,000 JPY / (1 + 0.07) = 27,102,804 JPY
2. Exchange the borrowed yen into U.S. dollars at the spot rate: 27,102,804 JPY * 0.0127 USD/JPY = 344,084 USD
3. Calculate the interest on the borrowed U.S. dollars after a year: 344,084 USD * 1.12 = 385,254 USD
4. Subtract the interest on the borrowed yen: 385,254 USD - 26,819 USD (1,897,196 JPY * 0.0144 USD/JPY) = 358,435 USD

The payment to the bank in a year would be 358,435 U.S. dollars (option c).

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why is disney a major economic force in central florida?

Answers

Disney is a major economic force in Central Florida due to its significant contribution to tourism, job creation, development of a supplier network, and stimulation of real estate growth in the region.

Disney is a major economic force in Central Florida due to several factors:

1. Tourism: Disney's presence in Central Florida, specifically with its Walt Disney World Resort, attracts millions of visitors each year. This influx of tourists contributes significantly to the local economy, generating revenue for hotels, restaurants, transportation services, and other businesses in the region. The tourism industry directly and indirectly supports numerous jobs, stimulating economic growth.

2. Job Creation: Disney is one of the largest employers in Central Florida, providing a significant number of jobs across various sectors. From theme park operations to hospitality, entertainment, retail, and more, Disney offers employment opportunities for local residents, further enhancing the economic impact in the area.

3. Supplier Network: Disney's operations require a wide range of goods and services, leading to the development of a robust supplier network in Central Florida. Numerous businesses and industries supply goods, materials, and services to support Disney's operations, resulting in increased economic activity and job opportunities.

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When a corporation sells stock to the general public for the first time, it is referred to as a(n)?

Answers

When the first time a corporation sells stock to the general public, it is referred to as an initial public offering.

An initial public offering (IPO) is when shares or stocks of a private corporation are offered to the public in a new stock issuance for the first time. An initial public offering gives the private firm opportunity to raise equity capital from public donors. This action converts the private corporation into a public organization. This is a way for the original investors and founders to realize the full profit from their original investments.

To hold an initial public offering the corporation must meet the requirements of the security and exchange commission (SEC). Investment banks are usually hired by the company to handle the whole process and price market, gauge demand, and set the IPO share prices and dates. An IPO provides corporations with a lot of capital and gives them a chance to grow and expand their horizons.

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In a private company's accounting system, inputs are __________ and outputs are _________. Multiple Choice marketing strategy-type information; sales data results of surveys on consumer satisfaction; accounts payables transactions such as sales, payroll, and other expenses; financial statements transactions such as the cash flow statement; payroll taxes

Answers

Answer:

Explanation:

transactions such as sales, payroll, and other expenses; financial statements

The correct answer is Inputs are accounts payables transactions such as sales, payroll, and other expenses; outputs are financial statements transactions such as the cash flow statement.

Here is a breakdown of the answer:

Inputs: These are the data that are entered into the accounting system. In a private company's accounting system, the inputs would typically include accounts payables transactions, such as sales, payroll, and other expenses.

Outputs: These are the reports and documents that are generated from the accounting system. In a private company's accounting system, the outputs would typically include financial statements, such as the cash flow statement.

The other options are not correct because they are not typically included in a private company's accounting system.

For example, marketing strategy-type information and results of surveys on consumer satisfaction is typically not included in the accounting system. Payroll taxes are also not typically included in the accounting system, as they are usually handled by a separate department.

Thus , accounts payables transactions and financial statements transaction is the correct options.

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Questions 18-22 are based on the simple quantity theory of money, and in each case we assume that ceteris paribus holds. 18. If the demand to hold money rose, the (exchange) value of money would A fall B rise B A 23. Which statements below are TRUE? (Choose one or more.) A Open market operations occur when the Fed buys and sells government bonds. B Quantitative easing occurs when the Fed sells longer-term government bonds or other securities. C A lender of last resort loans money to banks and other financial institutions when no one else will. D The (privately owned) Bank of England became the lender of last resort in the nineteenth century. E The Federal Reserve was designated the lender of last resort when it was established by act of Congress in 1913. 24. Which statement below is TRUE? A When the Fed buys government bonds, bond prices rise, interest rates fall, and the monetary base contracts. B When the Fed buys government bonds, bond prices rise, interest rates fall, and the monetary base expands. C When the Fed sells government bonds, bond prices fall, interest rates fall, and the monetary base expands. D When the Fed sells government bonds, bond prices fall, interest rates rise, and the monetary base expands.

Answers

18. If demand for money rises, its value increases.

23. True: A (open market operations), C (lender of last resort), E (Federal Reserve).

24. True: B (Fed buying bonds raises bond prices, lowers interest rates, expands monetary base).

18. If the demand to hold money rose, the value of money would rise. (B)

23. The following statements are TRUE:

  - A: Open market operations occur when the Fed buys and sells government bonds.

  - C: A lender of last resort loans money to banks and other financial institutions when no one else will.

  - E: The Federal Reserve was designated the lender of last resort when it was established by an act of Congress in 1913.

24. The statement that is TRUE is:

  - B: When the Fed buys government bonds, bond prices rise, interest rates fall, and the monetary base expands.

If the demand to hold money rises, individuals and businesses prefer to hold more money relative to other assets. This increased demand for money leads to an increase in the value of money, as people are willing to give up more goods and services in exchange for each unit of money. This is because money becomes relatively scarce compared to other goods and services. Therefore, the answer to question 18 is B.

Regarding question 23, open market operations involve the buying and selling of government bonds by the central bank (in this case, the Fed). Quantitative easing, on the other hand, refers to the Fed's purchase of longer-term government bonds or other securities. A lender of last resort is an entity that provides loans to banks and financial institutions when they face liquidity problems. In this context, both statements A and C are true, as open market operations involve the buying and selling of government bonds, and a lender of last resort does provide loans to banks in need.

As for question 24, when the Fed buys government bonds, it injects money into the economy, which leads to an increase in the monetary base. This injection of money increases the demand for bonds, causing bond prices to rise. Consequently, interest rates fall due to the inverse relationship between bond prices and interest rates. Therefore, the correct statement is B.

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Describe the population distribution in Guyana​

Answers

Statistics indicate that Guyana is one of the most lightly populated countries in Latin America and the Caribbean. The World Bank estimated that there were four people per square kilometer in Guyana in 1988, far fewer than the average of twenty people per square kilometer for all of Latin America. However, more than 90 percent of Guyana's population lived along the coast, on a strip constituting only 5 percent of the country's total land area. A more useful figure is the population density per square kilometer of agricultural land, which was estimated at forty-six in 1988. In Latin America as a whole, the average population density on agricultural land was fifty-five per square kilometer.

More than 70 percent of Guyana's coastal population is rural, living on plantations or in villages strung along the coastal road. The villages range in size from several hundred to several thousand inhabitants. The layout of the villages is dictated by the drainage and irrigation systems of the plantations, both active and abandoned. The villages are most heavily concentrated along the estuary of the Demerara River and the eastern environs of Georgetown, near the mouth of the Berbice River close to New Amsterdam, and along the extreme east coast near the Courantyne River.

The pattern of population distribution in Guyana is a product of nineteenth-century economic development, which was based on the cultivation of sugarcane. Because the swampy coast was fertile and sugar production was geared to export, the large sugar estates confined their operations to a narrow coastal strip. Most of the villages had ethnically diverse populations, but usually one ethnic group predominated. The urban population was predominantly African, but it would be misleading to suggest that all Afro-Guyanese were urban. Indeed, the majority of the Afro-Guyanese population was rural. A far greater majority of Indo-Guyanese, however, lived outside the cities. The interior of the country was left mainly to the Amerindians. Even the later exploitation of timber, bauxite, and manganese in the interior failed to effect any sizeable migration.

what is the name of the eller department which has career coaches available to you to talk about your career goals and help you achieve them?

Answers

A group of career counselors with backgrounds in the professional industry work with students in the Eller College of Management's Professional Development Center to help them in their job searches.

A professional development coach is what?

Experts in career guidance, résumé writing, interviewing, and negotiation are career coaches. While you might only look for a new job or change careers sometimes throughout your life, these specialists are always assisting job searchers, so they are aware of the most recent hiring procedures.

What distinguishes a career coach from a career advisor?

Career coaches put an emphasis on the present and frequently develop action goals to advance. Career counselors, in contrast hand, could search for previous experiences or obstacles that might be causing the challenge.

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Which of the following does NOT create a temporary book-tax difference?
Deferred compensation.
Bad-debt expense.
Depreciation expense.
Domestic production activities deduction

Answers

The correct answer is Deferred compensation.

Out of the four options mentioned, Deferred compensation does NOT create a temporary book-tax difference.

Temporary differences are the differences between the carrying amount of an asset or liability in the balance sheet and its corresponding tax base.

A taxable temporary difference creates taxable income in future years when the carrying amount of an asset or liability is recovered or settled, and vice versa.

A book-tax difference is a temporary difference between the financial statement and tax return recognition of revenue or expense.

Temporary book-tax differences create deferred tax assets and liabilities, which are accounted for in the balance sheet.

When companies calculate their income tax expenses, they look at their temporary differences between their book accounting and their tax accounting.

Temporary differences are essential because companies do not have to pay all of their taxes for a particular year at once and so the difference can be used to create deferred tax assets and liabilities.

What are the examples of temporary book-tax differences?

There are several examples of temporary book-tax differences, including:

Bad debt expenses

Deferred compensation

Depreciation expenses

Tax credits

Warranty expenses

Retirement expenses

Interest expenses

Amortization expenses

Cost of Goods Sold (COGS)

Capital expenditures

So, out of the given options, Deferred compensation does NOT create a temporary book-tax difference, while the others (Bad-debt expense, Depreciation expense, and Domestic production activities deduction) do create temporary book-tax differences.

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what level are inputs for estimating fair values are based on inputs that are readily available via prices for identical assets or liabilities in actively traded markets such as securities exchanges?

Answers

The level you are referring to is Level 1 inputs.  In the context of estimating fair values, the Financial Accounting Standards Board (FASB) developed a fair value hierarchy known as the three-level hierarchy.

This hierarchy categorizes inputs used in valuation techniques into three levels based on their reliability and availability.

Level 1 inputs are considered the most reliable and are based on quoted prices for identical assets or liabilities in active markets. These inputs are readily observable and can be directly obtained from reliable sources, such as securities exchanges. Level 1 inputs provide the highest degree of transparency and objectivity in fair value measurements.

Examples of Level 1 inputs include publicly traded stocks, bonds, and other financial instruments that have readily available market prices. The prices of these assets or liabilities can be easily obtained from exchanges or other reliable pricing sources.

It's important to note that Level 1 inputs are considered the most reliable because they are based on actual market transactions and reflect current market prices.

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who do you think is gonna win this election/who are you voting for?

Answers

I think Biden will win this election. Hopefully

Answer:

please mark me Brainliest: i think joe Biden will win definitely

Explanation:

Which of the following is an example of a soft skill?
A. Ability to use CSS spreadsheets
B. Ability to manage spreadsheets
C. Ability to work well with a project team
D. Ability to manipulate images using computer software

Answers

Answer:

Ability to work well with a project team

Explanation:

Explain how saving a portion of your money can help you achieve financial well-being. (Tell me how saving a little bit of your money can help you have less problems with money.)

Answers

Saving money means that you will have more in the future (if that’s just in your wallet or a savings acc that earns interest) it will also make you feel accomplished.

Chenglei, an IT manager, has been studying the actions that his workers perform in an attempt to improve their productivity. Chenglei is utilizingA) job evaluationB) management science.C) behaviorism.D) the Hawthorne effect.E) scientific management

Answers

Answer: scientific management

Explanation:

The following are affected by the business structure you choose when you start your
business.
O a.
day-to-day operations, personal liability, and business name.
O b.
day-to-day operations, business location, and taxes.
О с.
profitability, personal liability, and taxes
O d.
day-to-day operations, personal liability, and taxes.
1

Answers

When you start business, the business structure you choose can affect your day-to-day operations, personal liability, and taxes.

What is a liability?

Liability refers to the legal responsibility for one's actions or debts. It is an obligation to pay or perform something to another party. Liability can arise from various sources, such as contractual agreements, statutory laws, or common law. For instance, when a person borrows money from a bank, they have a liability to repay the loan amount to the bank within a certain period, according to the terms and conditions of the loan agreement. Liability can also arise from a person's actions or omissions that result in harm or damage to others. In such cases, the person may be held liable for the damages caused and may have to compensate the affected parties for their losses.

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Suppose that congress were to institute an investment tax credit. What would happen in the market for loanable funds?.

Answers

An investment tax credit is a tax incentive that allows businesses to write off a portion of the cost of investing in new equipment or property. The credit is typically a percentage of the cost of the investment, and it can be used to offset income tax owed.

The impact of an investment tax credit on the market for loanable funds is twofold. First, it increases the demand for loans, as businesses seek to finance their investments. This increases the price of loans, and makes it more difficult for borrowers to obtain financing. Second, it decreases the supply of loanable funds, as businesses use the credit to reduce their income tax liability. This decrease in the supply of loanable funds drives up the interest rate.

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A jacket costs $50, and the markup is $49.99. What
is its retail price?

Answers

I say 99.99 because the if you think in your head and you skip count and and think of the answer you and you also have to do all the math

The retail price of the jacket is $99.99.

What is retail price?

The retail price can be defined as the final price that a good is sold to customers for, those being the end users or consumers and this means that those customers do not buy the product to re-sell it but to consume it. Retail price is not similar to the manufacturer price and distributor price, which are prices set from one seller to another through the supply chain. In competitive, free markets, the final seller or retailer sets the retail price considering costs as well as supply and demand conditions.

When setting the price, the retailer will try to obtain an appropriate profit margin but at the same time to show an attractive price in comparison to competitors. The manufacturer can recommend a retail price in order to have some influence in the decision and thus to guarantee a price aligned to the marketing strategy.

A retail price is the cost paid for a good at retail stores.

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Which of the following is NOT considered personal information?

Answers

can you reply to this with the options so i can answer ^^

what multiplication do you do to convert currency ​

Answers

To convert from the base currency, we multiply by the exchange rate. Just like multiplying to apply a commodity price.

Hope it helpss:))

Explanation:

you multiply by the exchange rate.

You are a consultant helping to turn around a factory that hasn't adapted to modern manufacturing standards. They receive several truckloads of raw materials each day, which are recorded by hand in a logbook kept at the loading dock. Each of the salesmen keeps a running tally of orders and files them in the sales office. The deliveries are made once a truck is filled. What aspects of this factory can be significantly improved by introducing an EPR (enterprise resource planning) system?

environmental management
sales and revenue
human resource management
equipment maintenance

Answers

Answer:

use of modern technology

Explanation:

to make work and tallying

easy

Answer:Sales and revenue

Explanation:

This is standard business marketing

In what three ways does the government affect production of goods and services in the US economy?

Answers

Government activity affects the economy in four ways: The government produces goods and services, including roads and national defense. Less than half of federal spending is devoted to the production of goods and services

The activities of people traveling to and staying in places outside their usual environments for not more than one consecutive year for leisure, business, and other purposes is called _____.

transportation
travel
tourism
hospitality

Answers

Answer:

Tourism is the right answer

Cable television is most associated with which competitive situation?


monopoly

oligopoly

pure competition

communism

Answers

The competitive situation that cable television are most associated with is pure competition.

Who are the cable television providers?

The T.V. providers are companies who offers the product of Satellite transmission television program. These providers faced a high competition in the cable tv industries.

Hence, the competitive situation that cable television are most associated with is pure competition.

Therefore, the Option C is correct.

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Clearly state any five goals of supply in the context of Purchasing & Contract Management.

Answers

The five goals of supply in the context of Purchasing & Contract Management are

Cost ReductionSupplier Relationship ManagementQuality AssuranceRisk ManagementSustainability and Ethical Practices

In the context of Purchasing & Contract Management, the five goals of supply can be summarized as follows:

Cost Reduction: One of the primary goals is to achieve cost reduction in the procurement process. This includes negotiating favorable prices, sourcing from low-cost suppliers, optimizing inventory levels, and implementing cost-saving measures such as bulk purchasing or strategic sourcing.

Supplier Relationship Management: Building and maintaining strong relationships with suppliers is essential. The goal is to establish mutually beneficial partnerships that promote trust, collaboration, and effective communication. This includes selecting reliable suppliers, fostering long-term relationships, and ensuring supplier performance and accountability.

Quality Assurance: Ensuring the quality of purchased goods and services is crucial. The goal is to procure products and services that meet or exceed specified quality standards. This involves supplier evaluation and qualification, quality inspections, adherence to industry standards, and implementing quality control measures throughout the supply chain.

Risk Management: Mitigating risks associated with the supply chain is essential for continuity and business resilience. The goal is to identify and manage potential risks such as supply disruptions, price volatility, supplier reliability, geopolitical factors, regulatory compliance, and natural disasters. Implementing risk management strategies and contingency plans are vital to minimize potential disruptions.

Sustainability and Ethical Practices: Emphasizing sustainability and ethical practices is becoming increasingly important in procurement. The goal is to source from suppliers who adhere to environmentally friendly and socially responsible practices. This includes considering factors such as environmental impact, fair labor practices, ethical sourcing, diversity and inclusion, and corporate social responsibility.

These goals collectively aim to optimize the procurement process, improve efficiency, drive cost savings, mitigate risks, and promote sustainable and ethical practices throughout the supply chain.

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