What is the sharpe ratio for the large stock portfolio

Assignment Help Financial Management
Reference no: EM131969982

1. The mean annual return on the large stock portfolio is 9.07% and its standard deviation is 24.05%. The mean annual return on T-bills if 1.53%. What is the Sharpe ratio for the large stock portfolio? Do not round at intermediate steps in your calculation. Express your answer in decimal form. Round to two decimal places.

2. Suppose that you want to save up some money to travel when you graduate in 2 years. If you think you can earn 7.8% per year and you plan to make bi-weekly deposits of $20, how much will you have in 2 years? (Enter only numbers and decimal points in your response. Round to 2 decimal places.)

Reference no: EM131969982

Questions Cloud

Profit-maximizing dairy farm : A profit-maximizing dairy farm is currently producing 10,000 gallons of milk per day. The government is considering two alternative policies.
The concepts of cultural assimilation and cultural pluralism : Identify three ways in which organizations such as the National Association for the Education of Young Children.
What is your initial reaction regarding this new project : He states, "we have to take this project!". What is your initial reaction regarding this new project.
What was the basis of the mercantilist theory of economics : What was the basis of the mercantilist theory of economics? What was the relationship between the colonial economies and those of the homelands?
What is the sharpe ratio for the large stock portfolio : What is the Sharpe ratio for the large stock portfolio?
Nies and developing countries : What would be the consequences of a 20% revaluation for China, Western countries, Japan, NIEs and developing countries?
What are ethical considerations involved in online therapy : What are the ethical considerations involved in online therapy and counseling? Your paper must be 4-5 pages (1,050-1,400 words) and include two peer-reviewed.
Write a summary of national geographic guns germs and steel : Watch the Nat-Geo 3-part series Gun, Germs, and Steel, and write a 500 word summary of the video, PLUS write two CRITICAL QUESTIONS about the video.
Understanding of microeconomic concept : Problem solving: Apply theoretical understanding of microeconomic concept like consumer behaviour to real life economic problems

Reviews

Write a Review

Financial Management Questions & Answers

  Addressed in paper strategic alternatives to address issues

identification of issues or problems to be addressed in paper Strategic alternatives to address issues or problems mentioned in section SWOT Analysis above.

  Farrell stock prices on the announcement

Market signaling studies suggest will happen to Farrell stock prices on the announcement? why?

  According to relative purchasing power parity

According to relative purchasing power parity, if the inflation rate in Italy was 8% and the inflation rate in Israel was 6%,

  Additional net working capital investments each year

Net working capital is 1,500,000; additional net working capital investments each year (starting in year 1) equal to 15% of the projected sales increase for the following year. Decreases in sales will result in recovery of net working capital equal t..

  How many brackets should be ordered when WCU places

how many brackets should be ordered when WCU places an order with their supplier,

  What is the net present value of the project

Suppose Palmer Properties is considering investing $2.6 million today (i.e., C0 = -2,600,000) on a new project that is expected to last for 7 years. The project is expected to generate annual cash flows of C1 = -250,000; C2 = 300,000, C3 = 500,000 an..

  How much should they be willing to pay for risk reduction

A firm has a WACC of 10% and $50,000,000 in assets. They feel that that they can reduce their WACC to 9% by doing a better job of managing risk. How much should they be willing to pay for risk reduction?

  General dividend valuation model

According to the general dividend valuation model, a firm that reinvests all its earnings and pays no cash dividends can still have a common stock value greater than zero. How is this possible?

  Estimate the present value of the cash flows

XKL Co. plans a new project that will generate $ 187,000 of continuous cash flow each year for 8 years and additionally $108,000 at the end of the project. If the continuously compunded rate of interest is 4%, estimate the present value of the cas..

  Forward price to the nearest dollar of one-year forward

Suppose gold has a t = 0 spot price of $1000. If the cost of carry model holds, what should be the forward price to the nearest dollar of a one-year forward?

  What would the exchange rate be at the end of the year

what would the exchange rate be at the end of the year using the relative form of the PPP equation?

  Company weighted average flotation cost

Suppose your company needs $15 million to build a new assembly line. Your target debt-equity ratio is 0.85. The flotation cost for new equity is 12.5 percent, but the flotation cost for debt is only 6.5 percent. What is your company’s weighted averag..

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