-Given the Prices for a and B at the Start

question 21

Multiple Choice

$\begin{array}{|c|c|c|}\hline \text { Asset } & \begin{array}{c}\text { Price at } \\\text { start of } \\\text { period (\$) }\end{array} & \begin{array}{c}\text { Price at } \\\text { end of } \\\text { period (\$) }\end{array} \\\hline \text { A } & \$ 3.25 & \$ 4.25 \\\hline \text { B } & \$ 4.12 & \$ 3.85 \\\hline & & \\\hline\end{array}$
-Given the prices for A and B at the start and end of the period,if an investor holds 1000 shares in asset A and 5000 in asset B,what is her value-weighted return on the portfolio?

• A)\(-3.12 \%\)
• B)\(-2.23\%\)
• C)\(-1.12 \%\)
• D)\(-2.56 \%\)

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Definitions:

Income and Losses

The financial results of a company's operations, with income indicating profit and losses reflecting expenses that exceed revenues.

Salaries

Payments made to employees for their services, typically expressed in terms of annual amounts but paid in installments like weekly or monthly.

Capital Balances

The amount of money invested in a business by its owners or shareholders, shown on a company's balance sheet.

Net Income

The total profit of a company after all expenses have been deducted from revenue, indicating the company's financial performance in a given period.