Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Business Management Expert

Ranking investments by expected returns

What makes for a good investment? Use the approximate yield formula or a financial calculator to rank the following investments according to their expected returns. Round the answers to two decimal places. Do not round intermediate calculations.

  1. Buy a stock for $45 a share, hold it for 2 years, then sell it for $80 a share (the stock pays annual dividends of $3 a share). 
  2. Buy a security for $25, hold it for 2 years, then sell it for $65 (current income on this security is zero). Do not round intermediate calculations.
  3. Buy a 1-year, 10 percent note for $960 (assume that the note has a $1,000 par value and that it will be held to maturity). Do not round intermediate calculations.

Business Management, Management Studies

  • Category:- Business Management
  • Reference No.:- M92317486
  • Price:- $15

Priced at Now at $15, Verified Solution

Have any Question?


Related Questions in Business Management

The real economy defined - the humansocial system or

The real economy ( defined - the human/social system or process for transferring material elements into higher order and more complex material composites to meet human needs and desires) cannot be used to reduced to pure ...

Suggest situations in which it is preferable to clear a

Suggest situations in which it is preferable to clear a cell or range of cells. When might it be best to clear the worksheet and start over? Why?

What does research show regarding coaching relationships

What does research show regarding coaching relationships and what characteristics are associated with the best coaches?

1 how should a project manager handle cases in which racial

1. How should a project manager handle cases in which racial or sexual harassment has occurred? Justify the actions that you recommend? 2. Why should project managers concern themselves with the diversity issue? 3. Recom ...

It doesnt have to be to detailed just enought to answer the

It doesnt have to be to detailed just enought to answer the questions Your assignment is to assume the role of a market researcher for Toyota. Your company wants to learn more about what type of experience consumers will ...

A monopoly faces a demand curve of q 500 - 2p and has

A monopoly faces a demand curve of Q = 500 - 2P and has costs of TC = 100 + 10Q + Q^2 (Thus, you can solve MC = 10 + 2Q). Graphically depict Demand and MC. Also, I would like to know a) What is the profit maximizing leve ...

What is the various security architectures which provides

What is the various security architectures. Which provides the best balance between simplicity and security? Justify your answer.

What is an editorwhat is a text formattername the editors

What is an editor? What is a text formatter? Name the editors that the UNIX operating system supports. Name the vi modes. Name the keys that place the vi editor in the text input mode. Explain how the vi editor uses buff ...

Ethical behavior is a critical element for the success of

Ethical behavior is a critical element for the success of any business and business manager. If you were tasked with writing a code of ethics for your company, what concepts would you include and why?

The introduction to the chapter argues that preferences for

The introduction to the chapter argues that preferences for coffee changed in the 1990s and that excessive rain hurt yields from coffee plants. Show and explain the effects of these two circumstances on the coffee market ...

  • 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