Which investing qualities are necessary to know when evaluating the performance of two investment alternatives? Kindly describe how you use those qualities to your investment selection.

Q: Can any one suggest me to check the relationship between human rationality in investment decision…

A: All investment choices are inalienably logical since one's hard-earned cash is being invested.…

Q: in your own words please discuss the following statement.in investment decision making process,an…

A: An investment decision making process comprises of various steps that are followed by an investor…

Q: What text and supplemental information, is there a best choice for using any one specific method of…

A: Investment Valuation: Investment valuation refers to the techniques and procedures employed in…

Q: Identify two important variables to be considered when making an investment decision.

A: While Investing every investor should consider two main variables:   1) Expected rate of return 2)…

Q: As a Businessman and Entrepreneur, which do you think is more important between Return On Asset…

A: ROA is the return on assets and ROI is the return on investment.

Q: What are the two sources of value in an investment?  Given an example of each.

A: An investment is a process where the investors gives or outlays his or her capital in return of…

Q: With the aid of appropriate diagram, explain the three main categories of attitude towards risk and…

A: Categories are as represented below: a. Risk Seeker b. Risk-Averse c.  Risk Neutral

Q: Describe the process of accepting or rejecting an investment to make a comparison of alternative…

A: The most common type of capital budgeting techniques that are involved in decision making process of…

Q: Explain the difference between risk and uncertainty in the context of investment appraisal, and…

A: Investment means engaging your funds to generate income for the future. Return from the investment…

Q: Explain the types of investment risks with practical examples.

A: Investment risk - Investment risk is the probability of incurring losses from an investment made in…

Q: Which variables are to consider before making an investment decision? Describe about them.

A: Investment: It refers to the process of using the currently held excess cash to earn profitable…

Q: As a future manager, how will you make use of your knowledge in the computation of the relationship…

A: Risk is the possibility of something which may cause an adverse of desired result. Risk includes…

Q: Explain why income, budget, age, holging period and risk taking capacity helps in making the best…

A: A portfolio is a set or the combination of all shares, stocks, cash, mutual funds, bonds. It is…

Q: Critically evaluate the importance of the standard deviation factor in comparing investments.

A: Standard deviation helps the investor to measure the volatility of the market. It helps an investor…

Q: Explain how you would evaluate the expected rate of return from the investment (purchasing a…

A: Investment decisions are concerned with the most efficient use of funds in order to maximize the…

Q: What further information might you consider or need before making a final investment decision?

A: Information required before for making a final investment decision are: Project investment Amount…

Q: Explain the rationale behind the

A: We have  to explain the aim behind the choice in selection of active and passive investment strategy…

Q: With the aid of appropriate diagram, explain the three main categories of attitude towards risk and…

A: The three main types of risks are a) risk averse b) risk neutral c) risk seeking   All the three…

Q: Which alternative should be selected? Use a challenger-defender rate of return analysis.

A: Given,  Particulars Projects A($) B($) C($) D($) Initial investment 8500 18500 26500 30000…

Q: Which is the most accurate and commonly-used Investment Appraisal Method?

A: The profitability criteria of a project over the other can be considered by doing an analysis, that…

Q: Which of the investment constraints is expected to have the most impact on your decision process?…

A: Investment constraints: These are the conditions that limit or restrict an investor's investment…

Q: What are some possible financial decisions in which using the Future Value (FV) formula might be…

A: The concept of time value of money states that the money received today is worth more than that the…

Q: Which of the following statements is true regarding the sensitivity analysis approach to investment…

A: In simple words we can understand the basic meaning of Sensitivity analysis " Whenever manager takes…

Q: In pursuing one’s investment objective, which is specified in terms of return requirement and risk…

A: Investment is an activity that is engaged in by people who have savings. It can be in two forms such…

Q: With the aid of appropriate diagram, explain the three main categories of attitude towards risk and…

A: The three main categories of attitude towards risk are: Risk averse Risk neutral Risk seeking

Q: In order to determine whether an investment is visible, what factors should be considered?

A: For the evaluation of a task, no fixed steps that have to be taken. Numerous things should be…

Q: Explain why risk and uncertainty should be considered in the investment appraisal process.

A: Investment appraisal process has to be a thorough and a comprehensive process in order to enable…

Q: How do you make an investment decision based on the IRR?

A: IRR is the return actually earned by the investor and discount rate is the return which the investor…

Q: Discuss the significance of non-financial data in assessing the success of investment centers

A: Information that isn't financial : Non-financial data refers to features of a firm that cannot be…

Q: .

A: a. Payback period b. Internal rate of return c. Profitability index d. Net present value

Q: Discuss what reason to decide whether to accept or reject a project. Your should refer to all four…

A: Decision regarding whether an investment on a project which a company is willing to take have to…

Q: When measuring the investment performance of something as broadly defined as real estate, What one…

A: Introduction: One needs to find some different methods of assessing success to determine how well…

Q: In choosing where to invest, return and risk for an investment must be compared. It is not…

A: Return and risk are the different sides of the same coin. Both are directly related to each other.…

Q: Describe three of the biases or types of framing and make up an example of how each might impact an…

A: While investing, investor often face biases which are the tendency towards a certain disposition…

Q: How do we use the computed figure when evaluating an investment alternative?

A: There are various computations available for evaluation of investment alternatives.  The rate of…

Q: Is the investment risk concerned with the range of possible outcomes from aninvestment?

A: For a business, there are many types of risks associated with it. Some of the risks are credit risk,…

Q: If diversity is required, would you choose high correlation investments?

A: This question explains about the high correlation investments

Q: Our range of investment choices-and their relative risk factors-may be classified into three types…

A: While choosing to make an investment decision, the main area of focus is their risk-return…

Q: onsider the following tw

A: A. Standard deviations and coefficient of variation can be computed as follows :

Q: HOW TO KNOW THE RATIO OFCAPITAL INVESTMENT?

A: Ratio of capital investment is the ratio of net operating profit to total capital investment.

Q: How important is risk to returns and what are the key elements that must be analyzed in this regard…

A: Risk: The Cambridge dictionary gives one of the meanings of the word "risk" as:  "to do something…

Q: Investing activities include the (select the best answer):

A: Investing activities generated cash flow:- Cash flow from investment activities refers to the cash…

Q: Name three investment rules. Detail the mechanics for each of these rules and compare their…

A: Capital budgeting is the process where various investment proposal are assess based on its return…

Q: Technically, the required return of an investment can be determined by determining the investments…

A: The required return on an investment is the return that is expected and assumed by an investor to be…