What is the sample standard deviation of the above returns

Assignment Help Financial Management
Reference no: EM13876267

Your stock investments return 8%, 12%, and -4% in consecutive years. What is the geometric return?

What is the sample standard deviation of the above returns?

Using the standard deviation and mean that you just calculated, and assuming a normal probability distribution, what is the probability of losing 3% or more?

Reference no: EM13876267

Questions Cloud

Leonardo, the renaissance master : "Leonardo, the Renaissance Master" Please respond to the following, using sources under the Explore heading as the basis of your response:
Financial institutions have developed variety of methods : Financial institutions have developed a variety of methods a company to use receivables to obtain immediate cash. The methods differ with respect to which rights and risks are retained by the transferor. Discuss the alternative accounting treatments ..
The challenges of raising african children : Book Report or Critique (on the assigned text with proper citations). This book isNwokeafor, Cosmas Uchenna (ed.). (2008). When Cultures Collide: The Challenges of Raising African Children in a Foreign Country. Collier Ville, TN: Instant Publishers C..
What does the beta of the new security have to be : You currently own a portfolio valued at $16,000 that has a beta of 1.2. You have another $8,000 to invest and would like to invest it in a manner such that the risk of your portfolio matches that of the overall market. What does the beta of the new s..
What is the sample standard deviation of the above returns : Your stock investments return 8%, 12%, and -4% in consecutive years. What is the geometric return? What is the sample standard deviation of the above returns?
What is cost of conformance and nonconformance : What is cost of conformance and Nonconformance? What functions does a cost-of-quality (COQ) report play in a quality-improvement program?
The justification report : In Assignments 2.1 (Part 1) and 2.2 (Part 2) of the Justification Report, you built up the major parts of your formal, researched justification report (Problem Statement, Overview of Alternatives, Criteria, Methods, Evaluation of Alternatives, Findin..
Launching of a small model boat : In a water-tank test involving the launching of a small model boat, the model's initial horizontal velocity is 20 ft/s and its horizontal acceleration varies linearly from - 40 ft/s2 at t = 0 to - 6 ft/s2 at t = t1 and then remains equal to -6 ft/..
Motorist pay for fuel efficient six speed transmission : A new six speed automatic transmission for automobiles offers an estimated 4% improvement in fuel economy compared to traditional four speed transmissions. If a four speed transmission car averages 30 MPG and gasoline costs $4.00 per gallon, how much..

Reviews

Write a Review

Financial Management Questions & Answers

  Incorporating foreign equity and foreign debt in a portfolio

You are a young portfolio manager who has just been assigned a new portfolio. The current strategic asset allocation of the portfolio is 80% equity and 20% fixed income securities. The entire portfolio is invested in U.S securities only. What are the..

  Compounded quarterly

Rick wants to send his son to University of Maryland 8 years from now. He estimates he will need $30,000 then. How much does Rick need to invest today, if his investment can grow by 5% per year, compounded quarterly?

  Using the dividend discount model

Yippie is a recent startup and is currently not paying any dividends. The earnings in 2006 are expected to be $4 a share and analysts predict that Yippie’s earnings will grow at an annual rate of 30% for the next three years (until 2009). What is the..

  What is the compound average annual growth rate

Bunge paid $3.25 in dividends in the most recent past year, which is the same amount they have paid in the prior two years. Ten years ago, Bunge dividends were $1.50 per share. What is the compound average annual growth rate for Bunge dividends over ..

  Process of bidding construction contracts

Dixie Construction is a young firm that is in the process of bidding (and winning) construction contracts. While they are unable to pay any dividends today, once the contracts are awarded and their work begins in earnest, they expect to be able to st..

  Question 1 describe vernons product life-cycle theory of

question 1. describe vernons product life-cycle theory of fdi. what are the strength and weakness of the

  Firm wishes to retain the same return on equity

If a firm wishes to retain the same return on equity when its net profit margin and total asset turnover has declined, it must

  What is the companys stock price per share today

Troy Tec Inc. is expected to produce $100 million FCF (free cash flow) at the end of year 3, $150 million FCF at the end of year 4, $180 million at the end of year 5 and thereafter the FCF is expected to grow at a constant rate of 4%. No FCFs ($0) ar..

  What break-even resale price in three years

What break-even resale price in three years will make you indifferent between buying and leasing?

  What is the principal balance on the loan

You take out a 30-year $450,000 mortgage loan with an APR of 7.75 percent and monthly payments. In 16 years you decide to sell your house and payoff the mortgage. What is your monthly payment? What is the principal balance on the loan? What is your t..

  Tax consequences to allie and to broadbill corporation

Allie forms Broadbill Corporation by transferring land (basis of $125,000, fair market value of $775,000), which is subject to a mortgage of $375,000. One month prior to incorporating Broadbill, Allie borrows $100,000 for personal reasons and gives t..

  What was your return for the year-mutual fund

You invested $10,000 in a mutual fund at the beginning of the year when the NAV was $32.24. At the end of the year the fund paid $.24 in short-term distributions and $.41 in long-term distributions. If the NAV of the fund at the end of the year was $..

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