1. A stock had an annual return of 15% and standard deviation of 35%. What's the smallest expected loss in a coming year with a probability of 2.5%?
2. Lannister Manufacturing has a target debt−equity ratio of .35. Its cost of equity is 12 percent, and its cost of debt is 6 percent. If the tax rate is 35 percent, what is the company’s WACC?
3. How do you differentiate the marketing of products (goods and services)? Share an example of a service-oriented product that has been successfully marketed? Provide justification for your response.