Question 1: Consider the questions below

A)Please list your expected return for the following investment in different scenarios;

B)Please list the risks and discuss the impacts;

C)Why you go ahead with that investment by listing your recommendations;

Case Scenario: If you are a CFO who is responsible for your company's investment. World leading C Bank relationship manager came to you and offered you the following investment product; some key features are illustrated in below:

Auto callable Contingent Coupon Equity Linked Securities Linked to an Equally Weighted Basket of Four Underlying Due 31March2025;

Issuer: C Bank Group Global Markets Holding Inc.

Guarantee: All payments due on the securities are fully and unconditionally guaranteed by C Bank Group which is AAA Grade rating;

Underlying Company Stock

Weight

Advanced Micro Devices, Inc

25%

Square, Inc

25%

Tesla, Inc

25%

Zoom Video Communications, Inc

25%

Stated Principal amount: $1,000 per security;

Issue Date: 31March2021

Pricing Date: 31March2021

Valuation dates: the 5th Business day of each calendar month

Maturity date: 31March2025 unless earlier redeemed

Coupon Payment: Monthly Dividend at 0.8333% p.m. roughly 10% unless the market value of any underlying company stock is not below 60% of the initial pricing as of 31March2021;

Payment at Maturity: If the securities are not automatically redeemed prior to maturity, callable when any of underlying stock price is below 60% of the initial pricing; If that is the case, your principal payment will be 60% of the initial purchase price + any of previous paid coupon;

Otherwise, your return will be the ending sales price - previous coupon payment- management fee as of 2%; However capped at 20% capital gain;

Question 2: Answer all questions below

2. A survey of a sample of business students resulted in the following information regarding the genders of the individuals and their selected major. (25 pts) Selected Major Gender Economics Finance Others Total Male 60 140 40 240 Female 40 60 60 160 Total 100 200 100 400 a. What is the probability of selecting an individual who is majoring in Economics? b. What is the probability of selecting an individual who is majoring in Finance, given that the person is male? C. What is the probability that an individual is a female and majoring in Others? d. What is the probability that an individual is either a female or majoring in Finance? e. What is the probability of selecting an individual who is either majoring in Finance or in Economics?QUESTION 30 The rule of 70 states that O the number of years it takes an economy to double in size is the growth rate divided by 70. O the number of years it takes an economy to double in size is 70 divided by the growth rate. the number of years it takes an economy to double in size is the growth rate times 70. it takes an economy 70 years to double its real GDP QUESTION 31 Matt works only part-time due to the not so ideal economy situation in Connecticut, he is willing and activel time job even though he has a part-time job. In a normal calculation of U6, as measured by the BLS, Matt w Included in both the numerator and denominator Included in the denominator only O Included in the numerator only Not in Not included in either the numerator or denominator QUESTION 32(similar to) Question Help (CAPM and expected returns) a. Given the following holding-period returns, . compute the average returns and the standard deviations for the Zemin Corporation and for the market b. If Zemin's beta is 1.32 and the risk-free rate is 7 percent, what would be an expected return for an investor owning Zemin? (Note: Because the preceding returns are based on monthly data, you will need to annualize the returns to make them comparable with the risk-free rate. For simplicity, you can convert from monthly to yearly returns by multiplying the average monthly returns by 12.) C. How does Zemin's historical average return compare with the return you believe you should expect based on the capital asset pricing model and the firm's systematic risk? a. Given the holding-period returns shown in the table. the average monthly return for the Zemin Corporation is 5% (Bound to two decimal places. ) i Data Table X Month Zemin Corp Market 7% GUAUNE Print Done Enter your answer in the answer box and then click Check Answer. Check Anniver Clear All 6 parts remaining W e DELL3/4 9. All other things equal, consumer surplus is higher when the demand curve is more ; producer surplus is greater when the supply curve is more A) inelastic, elastic B) inelastic, inelastic C) elastic, elastic D) elastic, inelastic 10. The First Fundamental Theorem of Welfare Economics states that: A) the competitive equilibrium, where supply equals demand, can always be achieved through government intervention