Exhibit 25 -Refer to Exhibit 25

question 54

Multiple Choice

Exhibit 25.10
Use the Information Below for the Following Problem(S)
Consider the following information for a portfolio manager:
$$\begin{array} { l c c c c } & \text { Policy } & \text { Actuial } & \text { Index } & \text { Astual } \\& \text { Weieht } & \text { Weieht } & \text { Returns } & \text { Returns } \\\hline \text { Stacks } & 0.65 & 0.7 & 0.11 & 0.12 \\\text { Bonds } & 0.3 & 0.25 & 0.07 & 0.08 \\\text { Cash } & 0.05 & 0.05 & 0.03 & 0.025\end{array}$$
-Refer to Exhibit 25.10.Calculate the percentage return that can be attributed to the asset allocation decision.

• A) 0.105%
• B) 0.925%
• C) 0.20%
• D) 0.96%
• E) 0.94%

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Definitions:

Balance Sheet

A financial statement that summarizes a company's assets, liabilities, and shareholders' equity at a specific point in time, providing insight into financial health.

Gross Profit Method

An accounting technique used to estimate inventory levels and cost of goods sold by applying a consistent gross profit percentage to sales figures.

Retail Method

An inventory accounting method used in retail, estimating the ending inventory value based on the relationship between cost and retail price.

Weighted-Average Method

An inventory costing method that calculates the cost of goods sold and ending inventory based on the average cost of all units available.