1. Amazon.com stock prices gave a realized return of 10%, -10%, 15%, and -15% over four successive quarters. What is the
Posted: Wed May 18, 2022 11:39 pm
1. Amazon.com stock prices gave a realized return of 10%, -10%,
15%, and -15% over four successive quarters. What is the holding
period return for Amazon.com for the year?
2. Your portfolio consists of 40 shares of CSH and 40 shares of
EJH, which you just bought at $10 and $20 per share, respectively.
What fraction of your portfolio is invested in CSH? In EJH?
3. Cameron Industries is purchasing a new chemical vapor
depositor in order to make silicon chips. It will cost $3 million
to buy the machine and $30,000 to have it delivered and installed.
Building a clean room in the plant for the machine will cost an
additional $2 million. The machine is expected to have a working
life of six years. If straight-line depreciation is used, what are
the yearly depreciation expenses in this case?
15%, and -15% over four successive quarters. What is the holding
period return for Amazon.com for the year?
2. Your portfolio consists of 40 shares of CSH and 40 shares of
EJH, which you just bought at $10 and $20 per share, respectively.
What fraction of your portfolio is invested in CSH? In EJH?
3. Cameron Industries is purchasing a new chemical vapor
depositor in order to make silicon chips. It will cost $3 million
to buy the machine and $30,000 to have it delivered and installed.
Building a clean room in the plant for the machine will cost an
additional $2 million. The machine is expected to have a working
life of six years. If straight-line depreciation is used, what are
the yearly depreciation expenses in this case?