Answer:
a. 57 percent of the U.S. M1 money supply.
If the consumer expected price increase for any reason in such good he will buy it before the time he expects to apply for that increase.
Answer:
Expected Portfolio return = 0.5(10)+0.5(13)= 5+6.5=11.5%
Expected Portfolio SD= 0.5(20)+0.5(30)= 25%
Beta of A, 10= 5+B(6)
5=6B
B= 5/6= 0.833
B of B, 13=5+B(6)
8=6B
B=8/6
B=1.33
b. Portfolio AB's standard deviation is 25%
c. Stock A's beta is 0.8333
These two statements are correct
Explanation:
Answer:
The increase in weighted average number of common shares is by 6,000 shares
Explanation:
Application of treasury method is used for exercising the warrants.
Outstanding Common shares = Number of shares / Market price * Exercisable price
= 30,000 shares / $25 * $20
= 24,000 shares
After the warrants have been exercise, the increase in weighted average number of common shares is as follows:
Increase in weighted average number of shares = 30,000 shares - 24,000 shares
= 6,000 shares
Thus, the increase in weighted average number of common shares is by 6,000 shares.