Question: Claras portfolio is worth $200,000 and her portfolio consists of common stocks worth $56,000. Therefore, equity constitutes _____ of Claras portfolio. a. 28% b. 61%

Clara’s portfolio is worth $200,000 and her portfolio consists of common stocks worth $56,000. Therefore, equity constitutes _____ of Clara’s portfolio.

	a.	28%
	b.	61%
	c.	56%
	d.	10%
	e.	33%

Step by Step Solution

★★★★★

3.42 Rating (152 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

Answer of question 12 is ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Dangerfield Pty Ltd would like to determine the variable rate for electricity per machine hour in order to estimate the electricity costs for the months of May and June. Information for the four...

D has owned 80% of the equity shares of E since 1 January 1996. E has owned 60% of the equity shares of F since 1 January 1994. The accumulated profits of Fat the latest statement of financial...

Portfolio 1 consists of 100,000 theft insurance policies. Portfolio 2 consists of 100,000 earthquake policies. Probability of event is 1% for each type. Assume independence of thefts, and that if...

Sound waves with frequency 3000 Hz and speed 343 m/s diffract through the rectangular opening of a speaker cabinet and into a large auditorium of length d = 100 m. The opening, which has a horizontal...

Multiple Choice Questions 1. Identify which of the following is a capital asset: I. A canvas painting of a portrait client, in the painter's hands II. Depreciable fixtures in a business parking lot...

2. An electronic device manufacturer has experienced an 85% learning curve for similar products and expects the same learning rate to apply to a new model. Let us presume it took 4000 hours to...

Given the research questions of the proposed research, when and from whom is it best to collect information?

Creating a Partnership Tax Return Overview You are a senior tax accountant in the firm, Ernest & Rainhouse. Joe, a new junior accountant, has just completed an interview with a new client Harry,...

What does it mean for an integer arithmetic operation to overflow?

Computers R Us, is a manufacturer of computer keyboards. The requirements over a typical six-month period are as follows; Demand per month. 1: 600 2: 600 3: 450 4: 750 5: 900 6: 300 The current...

Dream As You Can is expected to pay $3 dividends each year over the next three years. It is then expected to increase it by 5% each year. If the appropriate required return by shareholders is 8%,...

Splish Brothers Inc.'s comparative balance sheets are presented below. Splish Brothers Inc. Comparative Balance Sheets December 31 Cash Accounts receivable Land Buildings 2022 2021 $ 14,700 $11,000...

Consider the following classic portfolio choice problem. Two assets are available to an investor at time t. One is riskless, with simple return Rf from time t to t+1 , and the other is risky. The...

Grocery Inc. (Grocery or the Company), an SEC registrant, is a wholesale grocery distributor and retailer in the United States. One of the Companys core businesses is distributing grocery products to...

Two identical springs hang from the ceiling, while a 4.0 kg block is attached to the end of the springs, as shown in the diagram. The spring constant is equal to: 0 20 40 60 80 2468 cm 4 kg

Required information [The following information applies to the questions displayed below.] Golden Corp.'s current year income statement, comparative balance sheets, and additional information follow....

Question 4 1 pts Suppose a project will cost $7.9.57 to install. It will provide cash flows of $3,127, $3,183 and $2,948 in the next three years. Suppose the opportunity cost of capital is 7.3%. The...

Write the binomial probability in words. Then, use a continuity correction to convert the binomial probability to a normal distribution probability. P(x 110)

You expect a tax-free municipal bond portfolio to provide a rate of return of 4%. Management fees of the fund are .6%. What fraction of portfolio income is given up to fees? If the management fees...

Assume that both X and Y are well-diversified portfolios and the risk-free rate is 8%. In this situation you would conclude that portfolios X and Y: a. Are in equilibrium. b. Offer an arbitrage...

Your investment client asks for information concerning the benefits of active portfolio management. She is particularly interested in the question of whether active managers can be expected to...

Use the results in Problem 7 to answer the following questions. a. Provide a numerical value for r2YX1|X2, X3. b. Which two models should you compare in testing whether the correlation in part (a) is...

An experiment was conducted regarding a quantitative analysis of factors found in high-density lipoprotein (HDL) in a sample of human blood serum. Three variables thought to be predictive of, or...

Residential real estate prices are thought to depend, in part, on property size and number of bedrooms. The house size X1 (in hundreds of square feet), number of bedrooms X2, and house price Y (in...

Related Book

Investments 9th Edition by Zvi Bodie, Alex Kane, Alan J. Marcus