FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A stock has generated an annual average return of 9.5% with a standard deviation of 40.7% during the last 10 years. If the average risk-free

image text in transcribed
A stock has generated an annual average return of 9.5% with a standard deviation of 40.7% during the last 10 years. If the average risk-free rate was 1.7%, what was this stock's Sharpe Ratio? Round to two decimal places. Answer in decimals, rounded to two decimalplaces. (e.g. 0.347=0.35)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Finance Applications And Theory

Finance Applications And Theory

Authors: Marcia Cornett, Troy Adair, John Nofsinger

6th Edition

1264101589, 9781264101580

More Books

Students also viewed these Finance questions

Question

★★★★★
Refer to the information in PB8-1. Beach Wind Company had $12,200 cash on hand on April 1. Of its sales, 60 percent is cash. Of the credit sales, 50 percent is collected during the month of the sale...

Answered: 1 week ago

Question

★★★★★
Studies by Keller and Marian Breland found that many animals exhibit instinctive drift. What does this mean? a. The animals studied would learn skills through reinforcement, and they remained that...

Answered: 1 week ago

Question

★★★★★
3. All the students in Ms. Clares third-grade class engage in weekly test reviews. Ms. Clare believes that these reviews will enhance student retention when standardized testing occurs in the spring....

Answered: 1 week ago

Question

★★★★★
An important part of planning manufacturing capacity is having a good forecast of sales. Elizabeth Burke is interested in forecasting sales of mowers and tractors in each marketing region as well as...

Answered: 1 week ago

Question

★★★★★
MANAGERIAL ACCOUNTING MARCH 2021/SETA/MAC4083 QUESTION 2 Adabi Consumer Industries Sdn Bhd's vision is to become the producer of halal and high-quality food products that have great taste and will...

Answered: 1 week ago

Question

★★★★★
As an example of financial forensics, in State of Arizona v . Wayne James Nelson, Mr . Nelson was accused of trying to defraud the state of nearly $ 2 million. Nelson, a manager in the office of the...

Answered: 1 week ago

Question

★★★★★
What is the meaning and definition of E-Business?

Answered: 1 week ago

Question

★★★★★
Ajith Co. reported $850,000 in Sales, $ 246000 in Cost of Goods Sold, and Net Income of $150,000. What were ajith Co.s Operating Expenses? A. $345000 B. $454000 C.$654000 D.$246000

Answered: 1 week ago

Question

★★★★★
1.When was the Declaration of Independence signed? 2. The United States bought Alaska from which country? 3.Who was the fourth president of the United States? 4.In what year was the Vietnam Veterans...

Answered: 1 week ago

Question

★★★★★
Why don't we use y (gama) rays to study the interior of the objects, instead of using x-rays? Because similar to x-rays, y-rays are also not deflected by the electric and magnetic fields and also...

Answered: 1 week ago

Question

★★★★★
Can external sound vibrations be manipulated to induce sensations within the body?

Answered: 1 week ago

Question

★★★★★
Describe what a one-minute self-sell is and what it contains.

Answered: 1 week ago

Question

★★★★★
Define the following 14 key terms throughout the chapter identified in bold with their definition in italic font. They are listed at the end of the chapter.

Answered: 1 week ago

Question

★★★★★
List and explain the steps in the negotiating process.

Answered: 1 week ago

Previous Question Next Question