Please provide an example of and explain how to calculate 1 day VaR (Value at Risk) at a confidence level of 99% based on:
--Normal distribution using a 10 day rolling window.
and
--Historical simulation based on a window of 10 days.
Answers
To calculate 1-day VaR (Value at Risk) at a 99% confidence level, we can use two methods: normal distribution and historical simulation,
For normal distribution using a 10-day rolling window, we can follow these steps:
1. Gather historical data on the variable of interest (e.g., daily returns) for a period longer than 10 days.
2. Calculate the mean and standard deviation of the returns using a rolling window of 10 days. This involves taking the average and standard deviation of the returns over the most recent 10-day period.
3. Determine the critical value for the desired confidence level (99% corresponds to a z-score of approximately 2.33 for a normal distribution).
4. Calculate the 1-day VaR by multiplying the standard deviation by the critical value obtained in the previous step.
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Related Questions
A man is selected by a marketing company to participate in a paid focusl group. The company says that the man was selected because everyone in:__________
Answers
Therefore, the man was chosen for the paid focus group because he fits the specific demographic criteria that the marketing company is interested in studying.
The marketing company selected the man for the paid focus group because everyone in his demographic meets the criteria they are looking for. Demographic criteria can include factors such as age, gender, income level, occupation, or interests. By selecting individuals who fit their target demographic, the marketing company can gather more relevant insights and opinions regarding their products or services.
For example, if the company is testing a new skincare product targeted towards men in their 40s, they would select men in that age group to participate in the focus group. This ensures that the feedback they receive is representative of their target market.
The man was chosen for the paid focus group because he fits the specific demographic criteria that the marketing company is interested in studying.
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When making decisions, managers often must decide between doing what is beneficial for the firm in the short term, and what is beneficial for both the firm and society in the long term. To address this conflict, a firm must
Answers
When making decisions, managers are often faced with a conflict between what is beneficial for the firm in the short-term and what is beneficial for both the firm and society in the long-term.
This conflict arises because the actions that benefit the firm in the short-term may not necessarily align with the interests of society as a whole, which can lead to negative consequences for both the company and society in the long-term.
To address this conflict, a firm must adopt a long-term orientation and consider the broader social and environmental impacts of its decisions. This means looking beyond immediate financial gains and recognizing that actions taken today can have far-reaching implications for the company's reputation, customer loyalty, employee morale, and overall sustainability.
Firms that prioritize social responsibility and sustainable business practices are more likely to build strong relationships with stakeholders, including customers, employees, investors, and regulators. They are also better equipped to weather economic downturns and other disruptions, as they have diversified their risk and invested in building resilient supply chains and communities.
Ultimately, the key to addressing the conflict between short-term gains and long-term benefits is a commitment to corporate social responsibility (CSR) and sustainable business practices. By prioritizing the needs of society and the environment alongside those of shareholders, firms can create value for all stakeholders over the long-term, ensuring their continued success and impact.
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multimember districts tend to promote ______.
Answers
The multimember districts tend to promote minority representation.
A multimember district refers to an electoral district or constituency possessing two or more representatives in a legislative body rather than one. They provide easy administrative divisions or communities of interest within the country due to their flexibility concerning the number of representatives per district.
The major disadvantage in the context of the multimember district is that they break the relations between representatives and voters and dilute the accountability of individual representatives. Another downfall is it believes in a proportional voting system to produce proportional outcomes in times of election.
therefore, from the following, we can conclude that multimember districts promote minority representation to increase the chances of proportional voting.
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what is the most difficult level of market screening analysis based on the accessibility and subjectivity of the data?
Answers
Micro-level analysis is the most challenging in terms of data accessibility and subjectivity in market screening analysis.
The most difficult level of market screening analysis based on the accessibility and subjectivity of the data is the micro-level analysis, which involves gathering detailed and specific data at an individual level and making subjective judgments based on customer insights.
Micro-level analysis requires collecting data on individual customers, market niches, or specific locations. This level of analysis involves understanding customer preferences, behavior, and purchasing patterns, which can be challenging to obtain and subjective in nature. It often requires conducting surveys, interviews, or observational studies to gather insights.
The accessibility of micro-level data can be a significant hurdle. Obtaining granular data at an individual level may involve significant efforts, costs, and time. It may require engaging with a small sample size or relying on third-party data sources, which may not fully capture the specific market dynamics.
Additionally, micro-level analysis involves a high degree of subjectivity. Understanding and interpreting individual customer preferences and motivations can be complex.
It requires a deep understanding of cultural, social, and psychological factors that influence consumer behavior. Interpreting and translating these insights into actionable market strategies involves subjective judgments and interpretations.
Subjectivity also arises from the variability and uniqueness of individual customer preferences. Customer behavior and preferences can change over time and may differ among individuals. This variability adds complexity and uncertainty to the analysis.
In summary, the micro-level analysis poses challenges in terms of data accessibility and subjectivity. Obtaining detailed data at an individual level and making subjective judgments based on customer insights make it the most difficult level of market screening analysis.
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The Natural rate of unemployment is: A. Structural unemployment rate plus frictional unemployment rate. B. The actual rate minus the cyclical rate C. A and B Leaning towards A
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In a situation in which genes assort independently, what is the ratio of the gametes produced by an AaBB individual?
In a situation in which genes assort independently, what is the ratio of the gametes produced by an AaBB individual?
a 1 AB : 1 aB
b 1 A : 1 B
c 3 A : 1 B
d 3 AA : 1 BB
e 3 AB : 1 ab
Answers
In a situation where genes assort independently, the ratio of the gametes produced by an AaBB individual would be:
c) 3 A : 1 B
This ratio represents the proportion of different combinations of alleles that can be found in the gametes produced by the individual. In this case, the AaBB individual has two heterozygous gene pairs (Aa and BB), and each gene pair segregates independently during gamete formation.
For the Aa gene pair, there are two possible alleles (A and a), and for the BB gene pair, there are two possible alleles (B and B). When these gene pairs assort independently, the gametes will contain a random combination of alleles from each gene pair.
Therefore, out of the total gametes produced, 3/4 (or 75%) will have the A allele (either AA or Aa) and 1/4 (or 25%) will have the B allele (BB). This can be expressed as a ratio of 3 A : 1 B.
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1 point
Which of the statements below is TRUE about filing your taxes? (Assume
that your only income comes from the salary you earn at Big Tech
Company.) *
You need to file your tax return by the end of the calendar year (typically December
31st)
If your employer takes out federal income taxes through payroll withholdings, you do
not need to file a tax return
You must file your tax return by April 15th of the following year or request an
extension by that date
You do not need to pay any income taxes until April 15th, so you should ask your
company to wait until after that date to withhold any money
Answers
Answer:
The true statements are;
You must file your tax return by April 15th of the following year or request an extension by that date
Explanation:
The due date at which tax returns are filed timely is on the 15th of April of the following year otherwise the Form 4868 should be filed on or before the 15th of April to obtain Automatic Extension of Time so as to be permitted to File U.S. Individual Income Tax Return while still having those filed tax return still being considered timely.
You must file your tax return by April 15th of the following year or request an extension by that date.
A tax is a compulsory financial charge or some other type of levy imposed on a taxpayer by a governmental organization in order to fund government spending and various public expenditures. A failure to pay in a timely manner, along with evasion of or resistance to taxation, is punishable by law.The statement that is true about filling the taxes is "You must file your tax return by April \(15th\) of the following year or request an extension by that date.''For more information:
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A supermarket building was purchased for $567,000. The down payment was 12%. The balance was financed at 7.97% for 25 years. Find the montly payment is
Answers
The monthly payment for the supermarket building is approximately $3,667.63. To find the monthly payment for a supermarket building, the following formula: Monthly payment = P[r(1+r)^n/((1+r)^n)-1)]
we will need to make use of the following formula: Monthly payment = P[r(1+r)^n/((1+r)^n)-1)]
where P = the principal,
r = the interest rate per month, and
n = the total number of months.
We will calculate the values of P, r, and n using the information provided in the problem statement:
Down payment = 12% of $567,000 = 0.12 × $567,000 = $68,040
Principal = $567,000 − $68,040 = $498,960
Interest rate per year = 7.97%
Number of years = 25Number of months = 25 × 12 = 300To convert the interest rate per year to the interest rate per month, we will divide by 12:
Interest rate per month = 7.97% ÷ 12 = 0.6642% Plugging in these values into the formula, we get:
Monthly payment = $498,960[0.006642(1+0.006642)^300/((1+0.006642)^300−1)]
Monthly payment = $3,667.63.
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explain the main factors influencing demand for cinema tickets
Answers
Answer:
1. a need/want to watch cinema shows which can increase or decrease demand
2. income levels based on economic situation and cost of living which can increase or decrease demand.
3. the level of availability of shows other than in cinemas to view which would reduce the demand for tickets if there are other options more affordable and convenient.
4. the Mount of movies being produced and filmed
Suppose that you start off in long run equilibrium, where LRAS, SR, and AD meet altogether in one point. Explain what happens to price, real GDP, inflation, and unemployment in each of the following cases:
(a) The interest rate falls;
(b) Wage rate temporarily falls;
(c) The dollar appreciates relative to foreign currencies;
(d) Businesses temporarily expect higher resource prices in the future;
(e) Business taxes rise
Answers
(a) When the interest rate falls, it stimulates borrowing and investment, leading to an increase in aggregate demand (AD). As a result, both price levels and real GDP will rise. The increase in aggregate demand will lead to upward pressure on prices, causing inflation to increase. With increased investment and economic activity, unemployment is likely to decrease as businesses expand and create more job opportunities.
(b) If the wage rate temporarily falls, businesses' production costs decrease, leading to a decrease in their marginal cost (MC) and an increase in short-run aggregate supply (SRAS). As a result, both price levels and real GDP will increase. With lower production costs, businesses can lower their prices, which can lead to a decrease in inflation. However, the impact on unemployment depends on the elasticity of labor supply. If the wage decrease leads to a significant increase in labor supply, it could lead to an increase in employment and a decrease in unemployment.
(c) When the dollar appreciates relative to foreign currencies, it makes imports relatively cheaper and exports relatively more expensive. This leads to a decrease in net exports, reducing aggregate demand (AD). As a result, both price levels and real GDP will decrease. With decreased aggregate demand, inflation is likely to decrease. The decrease in economic activity can also lead to an increase in unemployment as businesses may reduce production and cut jobs.
(d) If businesses temporarily expect higher resource prices in the future, it can lead to an increase in their costs of production. This will result in a decrease in short-run aggregate supply (SRAS), leading to higher price levels and lower real GDP. With higher production costs, businesses may pass on the cost increases to consumers, leading to higher inflation. The impact on unemployment depends on the extent to which businesses adjust their production and hiring plans in response to the expected higher resource prices.
(e) When business taxes rise, it increases the cost of production for businesses. This leads to a decrease in short-run aggregate supply (SRAS), causing price levels to increase and real GDP to decrease. Higher production costs can lead to higher inflation as businesses pass on the tax burden to consumers. The increase in production costs may also result in businesses reducing their output and cutting jobs, leading to an increase in unemployment.
It's important to note that these are simplified explanations and the actual impact of these factors can be influenced by various other economic conditions and factors. Additionally, the magnitude and duration of the effects can vary depending on the specific circumstances and the overall state of the economy.
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Which of the following is a country which operates under a traditional economy?
O North Korea
O Cuba
O Ecuador
O Sweden
Answers
Answer:
Dont worry about me, I just added this answer so the other person can get their brainliest because they definetly deserve it
Answer:
The answer is Ecuador :)
Is region of the world where a country is located associated with a country's GDP? Please address this question by using SPSS and a One-Way ANOVA to statistically analyze the following two variables"
Answers
To determine if the region of the world where a country is located is associated with a country's GDP, a One-Way ANOVA can be performed using SPSS. This statistical analysis will allow us to assess if there are significant differences in GDP among different regions.
To conduct the analysis, we need two variables: "Region of the World" and "GDP." The "Region of the World" variable should consist of categorical data indicating the region where each country is located (e.g., Americas, Europe, Asia). The "GDP" variable should contain numerical data representing the GDP values for each country.
Using SPSS, we can perform a One-Way ANOVA test, which will assess whether there are significant differences in GDP means across the different regions. The ANOVA test will generate an F-statistic and associated p-value. If the p-value is below a predetermined significance level (e.g., 0.05), we can conclude that the region of the world is associated with the country's GDP.
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l-----------------------------------------------------------
Answers
Answer:
ja. what do you want to ask?
Answer:
Am sorry but there is no question please
An adjusting entry is necessary to record interest expense at year-end because the interest:_____
Answers
An adjusting entry is necessary to record interest expense at year-end because the interest represents an accrued expense that has been incurred but not yet paid or recorded in the books.
The purpose of the adjusting entry is to recognize the interest expense in the appropriate accounting period, matching it with the corresponding revenue or borrowing activity. By recording interest expense at year-end, the financial statements accurately reflect the company's financial position and performance for the period.
Failure to make this adjusting entry would result in an understatement of expenses and an inaccurate portrayal of the company's financial results.
The adjusting entry ensures that all expenses are properly accounted for, contributing to the accuracy and reliability of the financial statements.
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How is the restaurant manager’s experience different from the customer’s experience?
Answers
Answer:
The restaurant Manager has in-depth knowledge of their business, workers, and income. While a customer might know a workers name a restaurant Manager knows their past record, their education level, and connections.
A manager also might deal with the money, meaning counting bills, change, while a customer simply pays.
Explanation:
Sorry if the question is looking for more specifics.
Bought a motor van by cheque would result in
A. Increase in motor van and decrease in bank
B. Decrease in motor van and increase in bank
C. Increase in motor van and increase in capital
D. Increase in motor van and decrease in capital
Answers
Answer:
The answer is B.
Hope this helps!
Answer:
B one is correct
Explanation:
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which of the following is typically the largest of all inventory costs? group of answer choices shortage cost purchase cost holding cost ordering cost pipeline cost flag question: question 16
Answers
Among the given options, holding cost is typically the largest of all inventory costs.
Holding costs encompass various expenses associated with storing inventory, including warehousing fees, insurance, security, utilities, depreciation of storage equipment, and inventory obsolescence. As inventory is held for extended periods, these costs accumulate and can have a significant impact on a company's overall inventory expenses. On the other hand, shortage costs represent the cost of running out of inventory or not meeting customer demand, purchase costs relate to the cost of acquiring inventory, and ordering costs involve expenses associated with the process of placing and processing orders. While these costs are important, holding costs tend to be the largest component due to the ongoing expenses incurred to maintain and manage inventory.
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Country C used to be a command economy but is now in the process of altering its economic system to embrace free-market capitalism. It is privatizing businesses that the state once owned, granting more political and economic freedoms, boosting trade with Western Europe, and seeking foreign investment. Its GDP is improving and has reached $9,000 per capita. It is also improving its transit and financial infrastructure. Independent banks and a stock market have just been created with IMF loan assistance. Which factor places this nation in the transitioning category
Answers
The factor which places this nation in the transitioning category is privatizing businesses that the state once owned, granting more political and economic freedoms.
What is a command economy and how does it differ from a market economy?State control over the means of production and commercialization is a defining feature of a command economy. State decisions on price and production are disregarded in this system, which favors free trade competition.
Price controls and other unconventional economic practices are frequently seen in command economies.
Typically, socialist and communist nations like North Korea will use this type of paradigm.
Contrary to market economies, which are characterized by open entrance and competition, individuals' options are constrained by state decisions in a command economy.
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a for-profit institution that offers personal loans, mortgages, and other services a called?
Answers
A for-profit institution that offers personal loans, mortgages, and other financial services is commonly known as a bank.
Banks are financial institutions that are licensed to receive deposits from the public and use these funds to make loans, investments, and other financial activities. Banks play a critical role in the economy by providing a variety of financial services to individuals, businesses, and governments. They offer a range of products, including checking and savings accounts, personal loans, mortgages, credit cards, and investment services, among others. Banks are regulated by government agencies and must comply with various laws and regulations to ensure the safety and soundness of their operations and to protect their customers' interests.
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Private data about employees or customers is considered what type of information?
Answers
Answer:
Personal
Explanation:
Workers don’t start the job at the same time and don’t get paid at the same wage.
In a small town, the managers of the three janitorial service firms have tacitly agreed to charge $150 per week for cleaning a standard-sized office. Each firm services 200offices. The marginal cost and average total cost of cleaning an office are both $130.a. What is each firm's economic profit? b. Suppose that a new office opens. Its owners tell the managers of one of the janitorial service firms that they will hire the janitorial service but only if the price is $140 per week. Is this new contract profitable for this firm? If the janitorial service managers sign the contract, how would it affect the tacitcollusion among the firms? c. Suppose that the janitorial service's contracts with its 200 existing customers all have most-favored-customer clauses. Now if the owners of the new office offer to sign a contract only if the price is $140 per week, is it profitable for the janitorial service firm to sign the contract? Why or why not? How does this clause affect the tacit agreement? If the company agrees to the new contract,what will be the effect on the tacit agreement?
Answers
a. Each firm's economic profit is $4,000.
b. The new contract at $140 per week is profitable. It may affect tacit collusion, leading to potential price competition.
c. Signing the contract is not profitable due to most-favored-customer clauses. The clause maintains the tacit agreement, and accepting the new contract would disrupt it.
a. Economic profit is calculated by multiplying the difference between the price charged and the average total cost by the number of offices serviced. ($150 - $130) x 200 = $4,000.
b. The new contract is profitable since the price ($140) is higher than the marginal cost ($130). Accepting this contract may trigger price competition among firms and disrupt their tacit agreement.
c. Most-favored-customer clauses require firms to offer the same lowest price to all customers. If the firm accepts the new contract at $140, they must lower the price for their existing customers too, reducing their profits.
This clause helps maintain the tacit agreement among firms. Accepting the new contract would disrupt the tacit agreement and affect all firms' profits.
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a market-based economy frequently produces boom-and-bust cycles.
Answers
Market-based economy frequently produces boom-and-bust cycles. When a recession hits, businesses reduce their operations, including reducing employee hours or laying off workers, resulting in reduced production.
A market-based economy is frequently unstable and regularly encounters boom-and-bust cycles, causing economic instability. Market cycles are a pattern of ups and downs, characterized by high production and increased consumption in the growth or boom cycle and low production and decreased consumption in the contraction or bust cycle.The ups and downs, including the extremes, are typically brief and lead to market recovery. However, in more severe market cycles, the impact on the economy can be catastrophic, with millions of people losing their jobs and the government taking on more debt to avoid a recession.
The causes of market cycles include supply and demand, investor expectations, and business cycles. Supply and demand are among the most crucial determinants of market cycles. When demand exceeds supply, the economy grows, and when supply exceeds demand, the economy contracts. However, investor expectations play a significant role in determining the economy's growth. When investors expect good economic times, they invest in stocks and other assets, driving up prices. Conversely, when investors expect bad economic times, they sell their stocks, leading to a decline in asset prices.
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Coffee Bean Co. Competes in the crowded coffee bean product category and sells its products in grocery stores and other stores selling coffee products. The firm has struggled to distinguish its brand because consumers view many products in many purchase categories as
Answers
Answer:
"Commodity-like" is the appropriate response.
Explanation:
A commodity seems to be a simple item that would be compatible with other commodities of almost a similar sort used in exchange. Commodities have been used another very commonly in the manufacture of other products or services as inputs. The consistency of the product in question may vary marginally, but it is generally standardized across suppliers.help me to answer thi Q! Thanks!
Answers
how would recession effect the economic
Answers
Answer:
Recession cause standard monetary and fiscal effects.
Explanation:
Recession impact all kinds of business, large and small,due to tightening credit conditions, slower, demand, and general fear and uncertainty.
Madison purchased a desk for her home office for $587.33. Using the store's installment plan, she made a $147.00 down payment. What amount did she finance?
Answers
$587.33−$147=$440.33 The amount financed is the sum of the down payment and the cash price.
Why is there a down payment needed?With a down payment, a buyer can take possession of the house or car and reduce their monthly mortgage main and interest payments. A lower interest rate can be obtained by the buyer by making a larger down payment. A down payment is a one-time, upfront sum paid for pricey goods or services, such as a car or a home. It is frequently paid in cash or anything of value at the time the transaction is finished. After that, a loan of some form must be used to finance the remaining portion of the payment.
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Why is the sports and entertainment industry so popular? Cite two specific reasons.
Answers
Answer:
Well, in sports, that's more popular than of entertainment. See, in sports, people want to know about sports scores, hey, they even bet on it. So, with the entertainment, people want to know about celebrities or famous singers, or new movies and TV shows episodes.
Explanation:
About citing, I think you're on your own with that. If you got this question from a text book, then you going to have to read.
Savannah is a middle school student who is eager to start earning her own money. She would like to start babysitting, but her parents said that she must wait until she turns fourteen. With her fourteenth birthday fast approaching, she decided to complete a first aid course and take babysitting classes offered at her local community center. She has also printed up flyers to give to families with small children in her neighborhood. Savannah is excited to soon be making money of her own. What advice would you give her about managing the money she will earn?
Answers
Answer:
Don't spend your money too quickly.
Explanation:
Don't go off buying any and everything you see. Manage your money responsibly.
The partnership agreement of Owens, Gehrig, and Nagurski provides for the following income ratio: (a) Owens, the managing partner, receives a salary allowance of $18,000, (b) each partner receives 15% interest on average capital investment, and (c) remaining net income or loss is divided equally. The average capital investments for the year were: Owens $100,000, Gehrig $200,000, and Nagurski $300,000. If partnership net income is $90,000, the amount distributed to Owens should be
Answers
Answer:
Owens will get $18,000 + $12,000 = $30,000
Explanation:
average capital investments:
Owens $100,000Gehrig $200,000Nagurski $300,000Net income = $90,000
Owens received a $18,000 salary
Remaining income = $72,000
interest on capital investment = $600,000 x 15% = $90,000
since $90,000 ≥ $72,000, profits must be allocated proportionally:
Owens = $72,000 x 1/6 = $12,000
Gehrig = $72,000 x 2/6 = $24,000
Nagurski = $72,000 x 3/6 = $36,000
4x+2/2 -(-2x)
Like ansa it now
Answers
Answer:
6x + 1
Explanation:
Given
4x+2/2 -(-2x)
Required
Solve
To start with, rule of BODMAS must be applied; meaning that we start by simplifying the bracket.
4x+2/2 -(-2x) becomes.
4x + 2/2 + 2x
The next step is to simplify all divisions.
4x + 2/2 + 2x becomes
4x + 1 + 2x
Collect like terms
4x + 2x + 1
6x + 1
Hence,
4x+2/2 -(-2x) is equivalent to 6x + 1