Homework Answers
Add Answer to:
6.6.0
An investment has an expected annual return of 16% with a standard deviation of 8%....
A portfolio has average return of 13.2 percent and standard deviation of returns of 18.9 percent....
A portfolio has average return of 13.2 percent and standard deviation of returns of 18.9 percent. Assuming that the portfolioi's returns are normally distributed, what is the probability that the portfolio's return in any given year is between -24.6 percent and 32.1 percent? A. 0.815 B. 0.835 ос C. 0.950 D. 0.975 A portfolio has expected return of 13.2 percent and standard deviation of 18.9 percent. Assuming that the returns of the portfolio are normally distributed, what is the probability...
An investment strategy's return is normally distributed and has an expected mean of 11 and a...
An investment strategy's return is normally distributed and has an expected mean of 11 and a standard deviation of 5. If investment returns are normally distributed, find the percentage of a randomly selected investment strategy earning a return that is: Zu x-x a) less than 5 b) between 7 and 23
1. Bonds have an expected return of 7% and an annual standard deviation of 10% and...
1. Bonds have an expected return of 7% and an annual standard deviation of 10% and the stock market has an expected return of 12% and an annual standard deviation of 25%. Assume that the correlation between bond returns and stock returns is 0.5. You choose to invest 75% in stock market and 25% in bonds. The expected annual return of your portfolio is ____________% 2. Bonds have an expected return of 7% and an annual standard deviation of 10%...
Stock Expected Return Standard Deviation Beta < 8.94 % 16 % 0.8 10.23 16 1.1 0...
Stock Expected Return Standard Deviation Beta < 8.94 % 16 % 0.8 10.23 16 1.1 0 12.38 16 1.6 Fund P has one-third of its funds invested in each of the three stocks. The risk-free rate is 5.5%, and the market is in equilibrium. (That is, required returns equal expected returns.) The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. Open spreadsheet a. What...
Asset Average Return Standard Deviation Canadian common stocks 13.20% 16.62% US common stocks 15.59% 16.86% Long...
Asset Average Return Standard Deviation Canadian common stocks 13.20% 16.62% US common stocks 15.59% 16.86% Long bonds 7.64% 10.57% Small-company stocks 14.79% 23.68% Treasury bills 6.04% 4.04% If the returns on small-company stocks are normally distributed, which of the following returns [-30%, -10%, 50%, 70%, 90%] would lie in a 99% confidence interval around the mean, but not in a 95% confidence interval? (70%) Assume the return on T-bills is normally distributed. Assuming a 68% probability, what is the highest...
Question 27 2 pts Bonds have an expected return of 7% and an annual standard deviation...
Question 27 2 pts Bonds have an expected return of 7% and an annual standard deviation of 10% and the stock! market has an expected return of 12% and an annual standard deviation of 25%. Assume that the correlation between bond returns and stock returns is 0.5. You choose to invest 75% in stock market and 25% in bonds. The expected annual standard deviation of your portfolio is Do not put the % sign in your answer and round to...
A venture capitalist feels that the annual rate of return on a proposed investment has a...
A venture capitalist feels that the annual rate of return on a proposed investment has a mean of $0.30 per share and standard deviation of $0.12 per share. ii) Find the probability that the return will be between $0.23 and $0.35 per share. Assume that the returns are normally distributed.
You are introduced to an investment that has an expected return of 20% equal to the...
You are introduced to an investment that has an expected return of 20% equal to the standard deviation of the distribution of returns. What is the probability that the investment will lose some of your initial investment in the first year?
An asset has an average return of 10 31 percent and a standard deviation of 19.17...
An asset has an average return of 10 31 percent and a standard deviation of 19.17 percent. What range of returns should you expect to see with a 68 percent probability? O -28.03% to 48,65% 0 -18.45% to 39.07% O-8 86% to 29 48% O -4720% to 6782% O-8869 to 1176%
Asset K has an expected return of 16 percent and a standard deviation of 35 percent....
Asset K has an expected return of 16 percent and a standard deviation of 35 percent. Asset L has an expected return of 10 percent and a standard deviation of 16 percent. The correlation between the assets is 0.58. What are the expected return and standard deviation of the minimum variance portfolio? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) Expected return Standard deviation
A portfolio has average return of 13.2 percent and standard deviation of returns of 18.9 percent. Assuming that the portfolioi's returns are normally distributed, what is the probability that the portfolio's return in any given year is between -24.6 percent and 32.1 percent? A. 0.815 B. 0.835 ос C. 0.950 D. 0.975 A portfolio has expected return of 13.2 percent and standard deviation of 18.9 percent. Assuming that the returns of the portfolio are normally distributed, what is the probability...
An investment strategy's return is normally distributed and has an expected mean of 11 and a standard deviation of 5. If investment returns are normally distributed, find the percentage of a randomly selected investment strategy earning a return that is: Zu x-x a) less than 5 b) between 7 and 23
Stock Expected Return Standard Deviation Beta < 8.94 % 16 % 0.8 10.23 16 1.1 0 12.38 16 1.6 Fund P has one-third of its funds invested in each of the three stocks. The risk-free rate is 5.5%, and the market is in equilibrium. (That is, required returns equal expected returns.) The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. Open spreadsheet a. What...
Question 27 2 pts Bonds have an expected return of 7% and an annual standard deviation of 10% and the stock! market has an expected return of 12% and an annual standard deviation of 25%. Assume that the correlation between bond returns and stock returns is 0.5. You choose to invest 75% in stock market and 25% in bonds. The expected annual standard deviation of your portfolio is Do not put the % sign in your answer and round to...
An asset has an average return of 10 31 percent and a standard deviation of 19.17 percent. What range of returns should you expect to see with a 68 percent probability? O -28.03% to 48,65% 0 -18.45% to 39.07% O-8 86% to 29 48% O -4720% to 6782% O-8869 to 1176%
Asset K has an expected return of 16 percent and a standard deviation of 35 percent. Asset L has an expected return of 10 percent and a standard deviation of 16 percent. The correlation between the assets is 0.58. What are the expected return and standard deviation of the minimum variance portfolio? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) Expected return Standard deviation
Most questions answered within 3 hours.
-
1.b. Fiscal policy is said to suffer from ‘crowding out’.
Explain what this means and why...
asked 3 minutes ago -
The equation for the reaction of nitrogen and oxygen to form
nitrogen oxide is written as...
asked 8 minutes ago -
A scientist reproducing some photoelectric effect experiments
shines a light on a metal electrode, but doesn't...
asked 10 minutes ago -
In a study designed to test the effectiveness of magnets for
treating back pain, 35 patients...
asked 30 minutes ago -
Here are summary statistics for randomly selected weights of
newborn girls:
nequals=193,
x overbarxequals=30.5
hg,
sequals=7.3...
asked 20 minutes ago -
Exercise #3:
Create the “MathTest” class. It will have two class variables:
1) a question and...
asked 23 minutes ago -
In epidemiology, how do you calculate the overall incidence of
cure within two groups? What formula...
asked 27 minutes ago -
A 1 liter solution contains 0.357 M ammonium chloride and 0.268
M ammonia. Addition of 0.295...
asked 28 minutes ago -
What are the advantages and disadvantages of using virtual
reality simulations in health care education?
asked 32 minutes ago -
Given input { 66, 28, 43, 29, 44, 69, 19 } and a hash function
h(x)...
asked 53 minutes ago -
A pebble with mass m is thrown straight up with an initial speed
v0 so that...
asked 57 minutes ago -
Let X be a discrete random variable that follows a
binomial distribution with n = 11...
asked 1 hour ago