The standard deviation for the portfolio

Assignment Help Finance Basics

Reference no: EM131040037

Assume you are investing 40% of your money in Stock A, and 60% in Stock B. Betas for Stock A is 1.2, and for Stock B is 0.8. ------------------------------------------------------- Probability | Stock A | Stock B | ------------------------------------------------------- 0.53 | 13% | 22% | 0.47 | 18% | 10% | ------------------------------------------------------ 19. The beta for the portfolio is: a. 0.96. b. 0.78. c. 1.10. d. 1.20. 20. The standard deviation for the portfolio is: a. 0.000674. b. 0.025953. c. 0.000623. d. 0.059892.

Reference no: EM131040037

Questions Cloud

What does a country real exchange rate measure : a) Write down the expression for a country's real exchange rate in terms of the nominal exchange rate and aggregate price levels, defining your notation carefully. What does a country's real exchange rate measure?

Compare the methodologies used by enterprise architectures : Compare the methodologies used by the two approaches to enterprise architecture described at the web sites below: New Zealand Government Architecture and Australian Government Architecture

Firm to self-promote more actively : You’re the managing partner in a law firm with 55 male associates and 45 female associates, and you agree with the argument that women lawyers need to “self-promote” more effectively. Which approach to motivation would you apply in order to encourage..

Write clearly and concisely about health economics : Explain how selected economic principles apply to the health care market and the provisions of health care services.

The standard deviation for the portfolio : Assume you are investing 40% of your money in Stock A, and 60% in Stock B. Betas for Stock A is 1.2, and for Stock B is 0.8.

Estimating the rational choice : If marginal benefit is greater than marginal cost, a rational choice involves:

Various approaches to enhancing workplace satisfaction : Among the various approaches to enhancing workplace satisfaction and productivity discussed in the chapter, which ones might you take under the circumstances described in the case? Why are some of the other approaches less likely to be effective (or ..

Unemployment means : Unemployment means that: a) there are some people who will not work at the going wage rate.

Prepare manufacturing trading and profit and loss account : Stocks as at December 31, 2011 were as follows: Direct raw materials, $4,500,000; Work-in-progress, $4,000,000; Finished goods, $4,500,000; Indirect raw materials, $2,000,000

User Account

All Pages