Consider the following information:
Rate of Return if State Occurs | ||||
State of Economy | Probability of State of Economy | Stock A | Stock B | Stock C |
Boom | 0.25 | 0.23 | 0.47 | 0.22 |
Good | 0.15 | 0.15 | 0.19 | 0.12 |
Poor | 0.30 | –0.06 | –0.14 | 0.01 |
Bust | 0.30 | –0.14 | –0.34 | –0.11 |
a. Your portfolio is invested 35 percent each in A and C and 30 percent in B. What is the expected return of the portfolio? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)
b-1. What is the variance of this portfolio? (Do not round intermediate calculations. Round your answer to 5 decimal places.)
Consider the following information: Rate of Return if State Occurs State of Economy Probability of State...
Consider the following information: Rate of Return if State Occurs State of Economy Boom Good Probability of State of Economy 0.25 2.15 0.30 0.30 Stock A 0.23 0.12 -0.02 -0.18 Stock B Stock C 0.39 0.26 0.15 0.16 -0.12 -0.03 0.18 0.11 Poor Bust a. Your portfolio is invested 35 percent each in A and C and 30 percent in B. What is the expected return of the portfolio? (Do not round intermediate calculations. Enter your answer as a percent...
Consider the following information: Rate of Return if State Occurs State of Economy Probability of State of Economy Stock A Stock B Stock C Boom 0.35 0.21 0.34 0.26 Good 0.25 0.11 0.23 0.08 Poor 0.30 –0.02 –0.10 –0.03 Bust 0.10 –0.10 –0.18 –0.10 a. Your portfolio is invested 35 percent each in A and C and 30 percent in B. What is the expected return of the portfolio? (Do not round intermediate calculations. Enter your answer as a percent...
Consider the following information: Rate of Return if State Occurs State of Economy Boom Good Poor Bust Probability of State of Economy 0.10 0.60 0.25 0.05 Stock A 0.34 0.19 - 0.01 - 0.15 Stock B 0.44 0.15 - 0.09 - 0.19 Stock 0.24 0.08 - 0.07 - 0.11 a. Your portfolio is invested 25 percent each in A and C, and 50 percent in B. What is the expected return of the portfolio? (Round your answer to 2 decimal...
Consider the following information: Rate of Return if State Occurs State of Probability of Economy State of Economy Stock A Stock B Stock C Boom 0.58 0.07 0.15 0.33 Bust 0.42 0.16 0.06 − 0.06 a. What is the expected return on an equally weighted portfolio of these three stocks? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16)) Expected return % b. What is the variance of a portfolio...
Consider the following information: Rate of Return if State Occurs State of Probability of Stock Stock Stock Economy State of Economy A B C Boom 0.28 0.19 0.38 0.28 Good 0.25 0.16 0.23 0.10 Poor 0.10 e.ee -.09 -0.05 Bust 0.45 -0.08 -0.22 -0.10 a. Your portfolio is invested 25 percent each in A and C and 50 percent in B. What is the expected return of the portfolio? (Do not round Intermediate calculations. Enter your answer as a percent...
Rate of Return if State Occurs State of Probability of Economy State of Economy Stock A Stock B Stock C Boom 0.10 0.18 0.48 0.33 Good 0.30 0.11 0.18 0.15 Poor 0.40 0.05 -0.09 -0.05 Bust 0.20 -0.03 -0.32 -0.09 a. Your portfolio is invested 25 percent each in A and C and 50 percent in B. What is the expected return of the portfolio? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal...
Consider the following information: Rate of Return if State Occurs State of Economy Probability of State of Economy Stock A Stock B Stock C Boom 0.70 0.07 0.09 0.29 Bust 0.30 0.19 0.09 0.17 Requirement 1: What is the expected return on an equally weighted portfolio of these three stocks? (Do not round your intermediate calculations.) (Click to select)15.00%17.50%27.03%29.80%9.27% Requirement 2: What is the variance of a portfolio invested 20 percent each in A and B and...
Rate of Return if State Occurs State of Economy State of Economy Stock A Stock B Stock C Boom Probability of 0.18 0.11 0.48 0.18 -0.09 0.32 0.33 0.15 0.10 0.30 0.40 Good -0.05 -0.09 0.05 -0.03 Poor 0.20 Bust a. Your portfolio is invested 25 percent each in A and C and 50 percent in B. What is the expected return of the portfolio? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal...
Consider the following information: Rate of Return if State Occurs State of Probability of State of Economy Stock A Stock B Stock C Economy Воom 0.10 0.18 0.48 0.33 0.15 Good 0.30 0.11 0.18 0.40 Роor 0.05 -0.09 -0.05 -0.32 0.20 -0.03 -0.09 Bust a. Your portfolio is invested 25 percent each in A and C and 50 percent in B. What is the expected return of the portfolio? (Do not round intermediate calculations. Enter your answer as a percent...
Consider the following information: State of Probability of State Rate of Return if State Occurs Economy of Economy Stock A Stock B Stock C Boom .70 .08 .02 .28 Bust .17 -.08 .30 23 a. What is the expected return on an equally weighted portfolio of these three stocks? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Expected return 0 % b. What is the variance of a portfolio...