Solved: Reduce the risk of a portfolio of assets, Finance Basics

+44 141 628 6080
[email protected]

Reduce the risk of a portfolio of assets

Question 1. Determine the value at the end of four years of a $10,000 investment (today) in a bank certificate of deposit (CD) that pays a nominal annual interest rate of 12 percent, compounded.

Do this for:

semi-annual
Quarterly
Monthly

Question 2. Explain how diversification can reduce the risk of a portfolio of assets to below the weighted average of the risk of the individual assets.

View Complete Question

Solution Preview :

Prepared by a verified Expert

Finance Basics: Reduce the risk of a portfolio of assets

Reference No:- TGS01801652

Now Priced at $20 (50% Discount)

Recommended (90%)

Rated (4.3/5)

Have a Question? (oR Write a Review)

Write atleast 100 words!!

Recent Questions Asked Finance Basics

Q : Communicating more effectively in intercultural interactions

As you were growing up, in what ways were you reared to be individualistic or collectivistic? Which orientation was the predominant cultural value

Q : Reflections on qualitative research for social change

Reflections on Qualitative Research for Social Change.In the recent years, the pursuit for institutions, "practical researchers

Q : Amount of debt in capital structure

Which of the following statements is likely to encourage a firm to increase the amount of debt in its capital structure?

Q : Travel agents and tour operators

Which events did he initiate in travel and tourism?

Q : Reduce the risk of a portfolio of assets

Explain how diversification can reduce the risk of a portfolio of assets to below the weighted average of the risk of the individual assets.

Q : A bumpy road for toyota case study

Is Toyota's focus on quality consistent with the Lean philosophy? Can a firm actually follow the Lean philosophy without having a strong quality focus?

Q : Component of debt used in the wacc calculations

If the companies tax rate is now 40%, what component of debt should be used in the WACC calculations?

Q : What social change means to you as walden doctoral candidate

Explain what social change means to you as a Walden doctoral candidate. What experiences from the course most influenced your understanding?

Q : Bond interest and effective interest methods

On October 1, 2011, Titania buys back $120,000 worth of the bonds for $126,000 (includes accrued interest). Give the entries through December 31, 2012.

1943700

Questions
Asked

3,689

Active Tutors

1437767

Questions
Answered

Start Excelling in your courses, Ask a tutor for help and get answers for your problems !!

ask Question

Asked Questions

Child is admitted to the pediatric unit for an appendectomy

A child is admitted to the pediatric unit for an appendectomy. Which question would the nurse ask to determine what the child thinks is the reason

Social determinants of health encompass the conditions

The social determinants of health encompass the conditions in which people are born, live, work, and age, including the healthcare system.

Which neurologic clinical manifestations are consistent

A patient who received an excessive volume of hypotonic IV fluid has developed the signs and symptoms of hypotonic FVE.

Discussion about worries that the child has forgotten them

After a prolonged admission far from home and away from the parent, an 18-month-old toddler becomes depressed, withdrawn, and apathetic.

Checking individual alarm signals for accurate settings

When checking individual alarm signals for accurate settings, proper operation and detectability, the primary care nurse responsible:

Discuss child with attention-deficit/hyperactivity disorder

Question: Medication is prescribed for a child with attention-deficit/hyperactivity disorder (ADHD)

How tbi can affect a students school performance

After reviewing/reading the resource on Traumatic Brain Injury (TBI), discuss how TBI can affect a student's school performance.