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Task 2: Assume the following information about the firm: Price 4.00 Variable cost per unit 3.00 Fixed operating costs (per year) 10,000 Fixed financing costs
Task 2: Assume the following information about the firm: Price 4.00 Variable cost per unit 3.00 Fixed operating costs (per year) 10,000 Fixed financing costs (per year) 30,000 Compute the firm's breakeven quantity of sales. I Task 3: Suppose you have estimated expected returns on the assets in the investment portfolio, as given in the table: Assets Weight Expected return (%) Corporate bonds 0.50 8 Government bonds 0.25 4 Stocks 0.25 15 Calculate the expected return on the portfolio
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