Calculate the standard deviation of the portfolio

Assignment Help Accounting Basics
Reference no: EM132560174

Question - Malcom Jones has 25% invested in Stock A with the rest invested in Stock B. The variance of Stock A is 0.000250 and the standard deviation of Stock B is 9%. The correlation between Stock A and Stock B is 0.740. Calculate the standard deviation of the portfolio. (3 marks) Please answer as a decimal to 4 decimal places.

Reference no: EM132560174

Questions Cloud

Regarding six sigma concept : Discuss personal experience in regard to quality improvement programs and how they are project like in application such as DMAIC.
Find which point the fair value less cost to sell : Assume that the above asset had not yet been sold at the end of the following reporting date. at which point its fair value less cost to sell was $75000
History of the united states : The following events have occurred in the history of the United States:
Analyzing the data for the most recent fantasy game : After a lot of hard work in the data munging mines, you've landed a job as Lead Analyst for an independent gaming company. You've been assigned the task.
Calculate the standard deviation of the portfolio : Malcom Jones has 25% invested in Stock A with the rest invested in Stock B. Calculate the standard deviation of the portfolio
Which of the ps and ss will change on the graphic : Which of the Ps and Ss will Change on the graphic? Using the 'demand-and-supply' model, what is the likely impact of this policy on the equilibrium quantity
Forecasting methods : Identify three different types of forecasting methods you believe would be suitable given the supply chain you diagrammed.
Journalise each transaction narrations are required : Feb 6. Purchased equipment costing $11,000. $6,000 was paid in cash and the remainder on credit. Journalise each transaction Narrations are required
Benefits of pertinent negative in human interaction : What are the benefits of Pertinent Negative in human interaction? How can we use the broader view of things in improving our relationships with others?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd