Consider the following information:
State of | Probability of | Rate of Return If State Occurs | |||||||||||
Economy | State of Economy | Stock A | Stock B | Stock C | |||||||||
Boom | .15 | .350 | .450 | .330 | |||||||||
Good | .45 | .120 | .100 | .170 | |||||||||
Poor | .35 | .010 | .020 | − | .050 | ||||||||
Bust | .05 | − | .110 | − | .250 | − | .090 | ||||||
Your portfolio is invested 30 percent each in A and C and 40 percent in B. What is the expected return of the portfolio?
Expected return
%
What is the variance of this portfolio?
Variance
What is the standard deviation of this portfolio?
Standard deviation %
Consider the following information: State of Probability of Rate of Return If State Occurs Economy State...
Consider the following information: Rate of Return If State Occurs Probability of State of Economy .15 State of Economy Boom Good Poor Bust Stock A .35 Stock C .25 .10 -.05 .60 Stock B .45 .16 -.06 -31 .19 .20 -.03 .05 -.13 -.08 Your portfolio is invested 28 percent each in A and C, and 44 percent in B. What is the expected return of the portfolio? (Do not round intermediate calculations and enter your answer as a percent...
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 .20 .38 .48 .28 Good .50 .14 .19 .12 Poor .20 – .05 – .08 – .06 Bust .10 – .19 – .23 – .09 a. Your portfolio is invested 22 percent each in A and C, and 56 percent in B. What is the expected return of the portfolio? (Do not round...
10. Returns and Standard Deviations Consider the following information: Rate of Return if State Occurs Probability of State of Economy State of Economy Stock A Stock B Stock C Boom 1 Good .11 .02 .45 .10 .02 -.25 .33 .17 -05 -.09 Poor 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? b. What is the variance of this portfolio? The standard deviation?
Consider the following information: Rate of Return If State Occurs State of Economy Probability of State of Economy .15 .55 .33 Stock A Stock B Stock C .45 .11 .10 .02 -.05 -.12 - 25 -09 Boom Good Poor Bust .33 .17 20 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 rot round intermediate calculations and enter your answer as a percent...
Consider the following information State of Economy Economy Rate of Return If State Occurs Probability of - State of Stock A Stock B Stock C 361 461 341 40 131 .111 1 81 021 031 -067 -121 -261 -101 20 Boom Good Poor Bust a. Your portfolio is invested 31 percent each In A and C and 38 percent in B. What is the expected return of the portfolio? (Do not round Intermediate calculations and enter your answer as a...
Consider the following information: State of Economy Probability of State of Economy Rate of Rtn Stock A Rate of Rtn Stock B Rate of Rtn Stock C Boom .20 .24 .45 .33 Good .35 .09 .10 .15 Poor .30 .03 -.10 -.05 Bust .15 -.05 -.25 -.09 a. Your portfolio is invested 30 percent each in A and C, and 40 percent in B. What is the expected return of the portfolio? b. What is the variance of this portfolio?...
Consider the following information: Rate of Return If State Occurs State of Economy Boom Probability of State of Economy .15 Good .55 Stock A .33 11 .02 -12 Stock B 45 10 .02 -.25 Stock C 33 17 -05 -09 .20 Poor Bust 10 a. Your portfolio is invested 25 percent each in A and C and 50 percent in B. What the expected return of the portfolio? (Do not round intermediate calculations an 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 .15 45 Stock A .37 .22 -.04 -.18 Stock B .47 .18 Stock C .27 .11 -.05 -.08 .35 -.07 .05 -.22 a. Your portfolio is invested 20 percent each in A and C, and 60 percent in B. What is the expected return of the portfolio? (Do not round intermediate calculaitons. Enter your answer as a percent...
Consider the following information: Rate of Return If State Occurs State of Economy Stock B Boom Good Poor Bust Probability of State of Economy .20 .50 .25 .05 Stock A .31 .18 -04 .41 .12 -.07 -27 Stock C .32 .11 -05 --.08 -15 a. Your portfolio is invested 28 percent each in A and C, and 44 percent in B. What is the expected return of the portfolio? (Do not round Intermediate calculations and enter your answer as a...
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...