Consider the following valuation factors of a company: It ow…

Consider the following valuation factors of a company: It owns 1000 cars valued at $50,000 each It holds patents worth $15,000,000 It owes $10,000,000 in loans It pays $3.00 per year per share in dividends starting in one year The stock price is $40.00 per share There are 1,000,000 shares outstanding The discount rate is 5% Suppose you believe that over a period of a few weeks, the price of the stock will converge to book value + 10%.  What should you do to profit from this expectation?

Consider the following valuation factors of a company: It ow…

Consider the following valuation factors of a company: It owns 1000 cars valued at $50,000 each It holds patents worth $7,000,000 It owes $10,000,000 in loans It pays $1.00 per year per share in dividends starting in one year The stock price is $60.00 per share There are 1,000,000 shares outstanding The discount rate is 5% The risk free rate is 0% What is the book value of the company?

Suppose you are using one of the minimizing optimizers from…

Suppose you are using one of the minimizing optimizers from Scipy. You are using it to optimize your portfolio for MAXIMUM volatility, and port_vals are the daily total values of the portfolio for a particular allocation. Which of the following would be the best way to compute the objective function for the optimizer?

Consider the following valuation factors of a company: It ow…

Consider the following valuation factors of a company: It owns 1000 cars valued at $30,000 each It holds patents worth $5,000,000 It owes $5,000,000 in loans It pays $3.00 per year per share in dividends starting in one year The stock price is $60.00 per share There are 1,000,000 shares outstanding The discount rate is 5% Suppose you believe that over a period of a few weeks, the price of the stock will converge to book value + 10%.  What should you do to profit from this expectation?

Suppose you are using one of the minimizing optimizers from…

Suppose you are using one of the minimizing optimizers from Scipy. You are using it to optimize your portfolio to MINIMIZE the cumulative return, and port_vals are the daily total values of the portfolio for a particular allocation. Which of the following would be the best way to compute the objective function for the optimizer?