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Tutor profile: Nubia B.

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Nubia B.
Accounting and Financial Planning tutor for 4 years
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Questions

Subject: Basic Math

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Question:

How do you express a fraction as a mixed fraction?

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Nubia B.
Answer:

The mixed fraction has 3 components, first: the amount of times that the numerator fits in the denominator. Second: The numbers left. Third: the denominator, which does not change. Let's see an example: if you have 10/3, you first need to determine which number equal or smaller than 10 fits in 3. Here we have 9, which is 3 times 3. That is the first component Then we just find the difference between 10 and 9. And that's how we get to : 3 1/3 (I could also tutor on financial math like: annuities, perpetuities and so on).

Subject: Finance

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Question:

I've been taught that the greater the risk, the greater the return. But I don't see that actually happening in the stock market, what is it actually about? or when does it work?

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Nubia B.
Answer:

You commonly hear this expression: "the greater the risk, the greater the return". But it has a part missing at the end. The greater the risk you are exposed to, the greater the return you expect. It does not happen with individual stocks as you have already noticed. This proportional relation actually works for diversified portfolios. In those, the person has stocks from different companies which correlate differently with the market, so they in a way "compensate" for each others' risk so that the only risk left is the systematic risk, the risk inherent to the market. When you do this, when you have several stocks from different companies in different industries, you can expect this relation.

Subject: Accounting

TutorMe
Question:

What are deferred assets?

Inactive
Nubia B.
Answer:

These are all the goods or services that you have already payed for but you haven't received. You consider them an asset because it's a kind of debt for the other party which still has to deliver the product or service to you. Once you've received that product, the deferred asset transforms into an expense or a cost (typically). Examples of this can be rent or insurance.

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