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This question has two related parts, (a) and (b).
(a) Use the daily yields in the table below to compute a daily standard deviation of yields. Next annualize the daily standard deviation just calculated first using 365 calendar days, then using 250 trading days in a year. Finally, construct a 4 -day moving average equal weight volatility forecast for each day in the period from Day 5 to Day 24, assuming that the expected value of the daily change in yield is zero. Please show your calculations, including formulas used. Please note: for this question 1) if you use Excel please attach your Excel worksheet to your assignment and 2) keep at least 6 decimal places in both your calculations and your final answers.
(b) Plot in the same graph for each day between Day 5 and Day 24 (inclusive) the computed daily standard deviation of yields and volatility forecast obtained in part (a) above. Please briefly comment on the volatility forecasting method in light of the graph.
how can we prove that an absolute convergent series is convergent but the converse is not true.
10 statements must be shown to be logically equivalent to the Statement the nxn matrix is invertible.
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By such interactions children learn to articulate reasons and construct arguments. When a child is exposed to several interactions of this kind, she gradually develops the ability
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Hypothesis Testing About The Difference Between Two Proportions Hypothesis testing about the difference between two proportions is used to test the difference between the propo
HOW DO CHILDREN LEARN? : Have you ever tried teaching a young child what "ball" means? Did you do it by a lot of verbal description" Or did you let the child actually handle a b
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