6. You have estimated returns of Twitter and Apple under different economic states. If you create...
7. An analyst has estimated UAL's stock returns under the following economic states: Er Economic State Recession Below average Above average Boom Probability 0.20 0.30 0.30 0.20 Return -15% -5% +15% +40% What is UAL's expected return? (Expected return)
PLEASEE 4. An analyst has estimated UAL's stock returns under the following economic states: Economic State Recession Below average Above average Boom Probability 0.20 0.30 0.30 0.20 Return -15% -5% +15% +40% What is UAL's expected return? (Expected return)
Suppose you have predicted the following returns for Apple Inc. stock in three possible states of nature. What is the expected return to Apple Inc.? State Probability of State Apple Inc. Returns Boom 0.4 - 0.12 Normal 0.3 0.06 Bust 0.27
Financial analysts have estimated the returns on shares of Drucker Corporation portfolio under various economic conditions as follows. The return for Drucker in the following three economic states of nature are forecasted to be:-15% in recession, +12% in moderate growth, and +36% in a boom. Estimates for the market as a whole in the same economic states are-12% in recession, +7% in moderate growth, and +21 % in boom. The analyst considers each state to be equally likely. Using these...
Using the same economic data, you have been asked to recommend the divestment of one of the SBUs and purchase of Company D with expected returns of Boom 18%, Normal 10%, Decline 2%. The % of portfolio for the new investment would be the same as the one sold. Which company do you suggest selling? What will be the portfolio return now? Scenario Probability Return A Return B Return C Boom 0.2 0.2 0.3 0.45 Normal 0.6 0.12 0.13...
9,Financial analysts have estimated the returns on shares of Drucker Corporation and the overall market portfolio under various economic conditions as follows. The return for Drucker in the following three economic states of nature are forecasted to be: -18% in recession, +11% in moderate growth, and +36% in a boom. Estimates for the market as a whole in the same economic states are -10% in recession, +9% in moderate growth, and +21% in boom. The analyst considers each state to...
4. Financial analysts have estimated the returns on shares of Drucker Corporation and the overall market portfolio under various economic conditions as follows. The return for Drucker in the following three economic states of nature are forecasted to be: -18% in recession, +9% in moderate growth, and +33% in a boom. Estimates for the market as a whole in the same economic states are -10% in recession, +10% in moderate growth, and +22% in boom. The analyst considers each state...
You have made the following estimates of the economic next year: Estimated returns in each scenario: -boom economy: 16% - normal: 10% - recession: -5% The probability of each scenario: - boom economy: 0.40 - normal: 0.40 - recession: 0.20 What is the standard deviation of the returns? 7.684% 7.002% 7.165% 7.334%
Compute the expected return given these three economic states, their likelihoods, and the potential returns: (Round your answer to 1 decimal place). Economic State Probability Return Fast growth 0.3 40 % Slow growth 0.4 10 Recession 0.3 –25
You have made the following estimates of the economic nex year: Estimated returns in each scenario! -boom economy: 16% - normal: 10% - recession! -5% The probability of each scenario! - boom economy: 0.40 - normal: 0.40 - recession! 0.20 What is the standard deviation of the returns ? 7.684% 7,000 % 7.165% V-7, 334%