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7. Using the answer in question 4. Answer the questions below. (hint: It is very convenient if you use Excel. Use ten-thousandths place value)! =
7. Using the answer in question 4. Answer the questions below. (hint: It is very convenient if you use Excel. Use ten-thousandths place value)! = ), average rate of return=( ), cumulative rate of return ( volatility for rate of return=( = ), average log rate of return=( ), cumulative log rate of return ( volatility for log rate of return =( De 8. What is the rate of return and volatility for the portfolio given below? Principal $100,000 Investment in stock A is $ 30,000, Investment in stock B is $70,000 Their statistical properties are given below. 4 Expected rate of return : stock A: 5%, stock B : 8%- Volatility : StockA: 12%, stock B : 15%, correlation between stock A and stock B is -0.34 ( Expected rate of return for the portfolio ( Volatility of the portfolio De
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