BUSINESS COLLEGE

A bond has a standard deviation of 10.7 percent and an average rate of return of 6.4 percent. What is the coefficient of variation (CoV)

Answers

Answer 1
Answer:

Answer:

CoV = 1.671875 rounded off to 1.67

Explanation:

The coefficient of variation (CoV) is a measure of volatility of an investment. It tells the volatility in comparison with the expected return from the investment. We can say that the CoV tells us the risk per unit of return as CoV is calculated by dividing standard deviation, which is a measure of risk, by the expected return of the investment.

CoV = SD / r

Where,

  • SD is the standard deviation
  • r is the expected return

CoV = 0.107 / 0.064

CoV = 1.671875 rounded off to 1.67

Related Questions

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The following information applies to the questions displayed below.]Performance Products Corporation makes two products, titanium Rims and Posts. Data regarding the two products follow:DirectLabor-Hoursper unit AnnualProductionRims 0.30 26,000 unitsPosts 0.50 70,000 unitsAdditional information about the company follows:Rims require $15 in direct materials per unit, and Posts require $11.The direct labor wage rate is $15 per hour.Rims are more complex to manufacture than Posts and they require special equipment.The ABC system has the following activity cost pools:Estimated ActivityActivity Cost Pool Activity Measure EstimatedOverheadCost Rims Posts TotalMachine setups Number of setups $ 32,900 60 140 200Special processing Machine-hours $114,800 4,000 0 4,000General factory Direct labor-hours $1,404,000 6,000 72,000 78,000c.A security guard patrols the company grounds after normal working hours.d.Purchase orders are issued for materials to be used in production.e.Modifications are made to product designs.f.New employees are hired by the personnel office.g.Machine settings are changed between batches of different products.h.Parts inventories are maintained in the storeroom. (Each product requires its own unique parts.)i. Insurance costs are incurred on theRequired:1. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.)Activity Cost Pool Activity RateMachine setups per setupSpecial processing per MHGeneral factory per DLHcompanyâs2. Determine the unit product cost of each product according to the ABC system. (Do not round intermediate calculations. Round your final answers to 2 decimal places.)Unit product cost of Rims Unit product cost of Posts

Answers

Answer:

Please sew below and attached.

Explanation:

1. Compute the activity rate for each activity cost pool.

2. Determine the unit product cost of each product according to the ABC system.

•The unit product cost for RIMS = $28.45 , while the unit product cost for POSTS = $37.34

Please find attached detailed solution to the above .

Fred Company paid $48,000 for a two-year insurance policy, ($2,000 per month), on October 1 and recorded the $48,000 as a debit to Prepaid Insurance and a credit to Cash. What adjusting entry should Fred make on December 31, the end of the accounting period (no previous adjustment has been made)? Select one: a. Debit: Prepaid Insurance 6,000 Credit: Insurance Expense 6,000 b. Debit : Insurance Expense 6,000 Credit: Prepaid Insurance 6,000 c. Debit: Insurance Expense 24,000 Credit: Prepaid Insurance 24,000 d. Debit: Prepaid Insurance 42,000 Credit: Insurance Expense 42,000

Answers

The adjusting entry should Fred make on December 31, the end of the accounting period is: Debit Insurance Expense $6,000; Credit Prepaid Insurance $6,000.

Journal entry

Based on the information given the appropriate journal entry to record the transaction is:

Fred company adjusting entry

Debit Insurance Expense $6,000

Credit Prepaid Insurance $6,000

( $2,000 x 3 = $6,000)

Inconclusion the adjusting entry should Fred make on December 31, the end of the accounting period is: Debit Insurance Expense $6,000; Credit Prepaid Insurance $6,000.

Learn more about journal entry here:brainly.com/question/14279491

Answer:

The adjusting entry Fred should make on December 31, the end of the accounting period:

b. Debit : Insurance Expense 6,000 Credit: Prepaid Insurance 6,000

Explanation:

On October 1, Fred Company paid $48,000 for a two-year insurance policy, ($2,000 per month)

From October 1 to December 31, Fred Company has used the insurance for 3 months.

Insurance Expense = $2,000 x 3 = $6,000

The adjusting entry Fred should make on December 31, the end of the accounting period:

Debit Insurance Expense $6,000

Credit Prepaid Insurance $6,000

Wayne and celia had been married for 24 years before wayne died in an accident in 2014 . celia and her​ son, wally, age 21 in 2014 ​, continued to live at home in 2014 ​, 2015 ​, 2016 ​, and 2017 . wally worked​ part-time (earning​ $5,000 in each of the four​ years) and attended the university on a​ part-time basis. celia provided more than​ 50% of​ wally's support for all four years. what is​ celia's filing status for 2014 ​, 2015 ​, 2016 ​, and 2017 ​?

Answers

Answer:

I have put the filing status in table. So please refer attachment 1 for the table.

Explanation:

Please refer to attachment 1 for explanation.

Celia was married 24 years ago, i.e. 1980 and in 2014 her husband died, now her filing status is Widower since she didn’t marry till 2016 but she has son so he would be dependent member because Celia pays more than 50% of his expenses. Hence, the filing status for Celia would remain same till she pays for her son.
2014 married with 1 dependent, then for 2015 on...single with 1 dependent.

When a consultant prepared marketing dashboards showing sales data for different household types over a four-year period for Tony's pizza, this was which step of the marketing research approach?

Answers

Answer:

The correct answer is: Develop findings.

Explanation:

The Marketing Research Approach is a study carried out to contribute to the decision-making of a company mainly over the introduction of a new product. The approach has five (5) steps: define the problem, develop findings, collect relevant data and information, analyze the information, and take action.

After recognizing what the problem is and clearly know what the study will focus on, the next step implies developing findings. At this stage, different kind of information is collected and studied to determine if they would be useful for the research or at least provide an idea of what is happening related to the issue that causes the research.

Park Co. is considering an investment that requires immediate payment of $27,215 and provides expected cash inflows of $8,400 annually for four years. Assume Park Co. requires a 8% return on its investments. 1-a. What is the net present value of this investment

Answers

Answer:

the net present value is $606.64

Explanation:

The computation of the net present value is shown below:

But before that the present value of annual cash inflows is to be determined i.e.

Present value = annual cash flows × PVIFA(8%,4years)

= $8,400 × 3.3121

= $27,821.64

Now

Net present value = Present value of cash flows - initial investment

= $27,821.64 - $27,215

= $606.64

Hence, the net present value is $606.64

What is the total cost to move products between work centers A and D, and between work centers B and C combined

Answers

Answer:

More than $0 but less than or equal to $100.

Explanation:

The transportation cost is $2.

Load summary is AB = 12, AC = 25, AD = 12, BC = -19, BD = 21, CD = 34.

The total cost to move product between A and D and B and C combined is ;

A and D = 12 * $2 = $24

B and C = 19 * $2 = $38.
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