投资学第7版Test Bank答案26(16)

2021-01-20 18:47

投资学第7版Test Bank答案

Use the following to answer questions 46-49:

Alex Goh is 39 years old and has accumulated $128,000 in his self-directed defined contribution pension plan. Each year he contributes $2,500 to the plan and his employer

contributes an equal amount. Alex thinks he will retire at age 62 and figures he will live to age

86. The plan allows for two types of investments. One offers a 4% risk-free real rate of return. The other offers an expected return of 11% and has a standard deviation of 37%. Alex now has 25% of his money in the risk-free investment and 75% in the risky investment. He plans to continue saving at the same rate and keep the same proportions invested in each of the investments. His salary will grow at the same rate as inflation.

46. How much does Alex currently have in the safe account; how much in the risky

account?

A) $31,200, $46,800

B) $39,000, $39,000

C) $32,000, $96,000

D) $45,300, $32,700

E) $64,000, $14,000

Answer: C Difficulty: Easy

Rationale: The safe account has .25*$128,000=$32,000 and the risky account

has .75*$128,000=$96,000.

47. Of the total amount of new funds that will be invested by Alex and by his employer on

his behalf, how much will Alex put into the safe account each year; how much into the risky account?

A) $2,500, $2,500

B) $3,200, $1,800

C) $3,000, $2,000

D) $1,250, $3,750

E) $2,400, $2,600

Answer: D Difficulty: Easy

Rationale: The safe account gets .25*($2,500+2,500)=$1,250 and the risky account

gets .75*($2,500+2,500)=$3,750.


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