Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Statistics and Probability Expert

A portfolio manager invested $1,500,000 in bonds in 2007. In one year the market value of the bonds dropped to $1,485,000. The interest payments during the year totaled $105,000.

a. What was the manager's total rate of return for the year?

b. What was the manager's real rate of return if the inflation rate during the year was 2.3%?

Statistics and Probability, Statistics

  • Category:- Statistics and Probability
  • Reference No.:- M92607116

Have any Question?


Related Questions in Statistics and Probability

A pharmaceutical company claims that the average cold lasts

A pharmaceutical company claims that the average cold lasts an average of 8.4 days. They are using this as a basis to test new medicines designed to shorten the length of colds. A random sample of 106 people with colds, ...

Shelton inc has the following capital structure its

Shelton Inc has the following capital structure. Its corporate tax rate is 40%. Security Market Value Required Rate of Return Debt $10million 2%Preferred stock  20million  4 Common stock  50million  8  What is its WACC?

What would be the net annual cost of the following checking

What would be the net annual cost of the following checking account? Interest earnings of 3 percent with a $550 minimum balance; average monthly balance, $800; monthly service charge of $15 for falling below the minimum ...

Suppose metal shafts produced have a standard deviation of

Suppose metal shafts produced have a standard deviation of 2.8 and a mean diameter of 210 inches. If 84 shafts are sampled at random, what is the probability that the mean diameter of the sample shafts would be less than ...

Te critical boundaries zcrit for a hypothesis test are z

The critical boundaries (Zcrit) for a hypothesis test are z = +1.96 and z = -1.96. If the z-score for the sample data is z = -1.90, then what is the correct statistical decision?  A) Reject H1  B) Fail to reject H1 C) Re ...

A standard 52-card deck of cards is shuffled and then a

A standard? 52-card deck of cards is shuffled and then a hand of 8 cards is dealt from the deck. How many different outcomes are possible that have exactly 3 ?pairs, and all other cards of different? ranks?

Two pediatricians want to investigate a new laboratory test

Two pediatricians want to investigate a new laboratory test that identifies streptococcal infection. Dr. Kidd uses the standard culture test, which has a sensitivity of 90% and specificity of 96%. Dr. Childs uses the new ...

A student is to be selected randomly from a group of

A student is to be selected randomly from a group of students. For each classification of freshman and sophomore, there is a math major, an art major, and a biology major. The probability of each individual being selecte ...

A researcher is interested in learning more about the

A researcher is interested in learning more about the protective effects of exercise. He conducts a study where he collects information about stress levels (measured on a multi-item Likert scale) and hours of exercise co ...

Dr garcia has a dream to complete a ironman triathlon the

Dr. Garcia has a dream to complete a Ironman triathlon. The race consists of a 2.4 mile swim, a 112 mile bike ride, and a marathon run of 26.2 miles. In training, Dr. Garcia estimates that he can swim at an average pace ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As