You are provided with the information below with respect to the possible returns of Mariakani Ltd....
- You are provided with the information below with respect to the possible returns of Mariakani Ltd.
|
Probability |
0.1 |
0.3 |
0.4 |
0.2 |
|
Return (%) |
23 |
18 |
12 |
7 |
You are also given that the expected market return is 10.4%, the standard deviation of the market returns is 2.25%, whereas the correlation between the returns of Mariakani Ltd and the market is 0.84
Required
- Determine the expected return and risk for Mariakani Ltd (6 marks)
- Compute the beta factor for Mariakani Ltd and interpret its meaning (4 marks)
Homework Answers
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You are provided with the information below with respect to the
possible returns of Mariakani Ltd....
I am quite pressed for time! Can someone help me find this solution? You are given...
I am quite pressed for time! Can someone help me find this
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I am quite pressed for time! Can someone help me find this
solution?
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standard deviation of expected returns of 35%, a correlation
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1. Stock A has an expected return of 7%, a standard deviation of expected returns of 35%, a...
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