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Alex wishes to save money to provide for his retirement. Beginning one month from now, he will begin depositing a fixed amount into a retirement

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Alex wishes to save money to provide for his retirement. Beginning one month from now, he will begin depositing a fixed amount into a retirement savings account that will eam 12% compounding monthly. He will make 360 such deposits. Then, one year after making his final deposit, he will withdraw $100,000 annually for 25 years. The fund will continue to eam 12% compounded monthly. How much should the monthly deposits be for his retirement plan? (Please relain at least 4 decimal places in your calculation and select the dosest option) 0 a $249.38 06. $21421 OC. $234.89 03. $19958 insure De 5189 58 Previous page 3 4 5 6 7 Next page Finish Risk that affects a large number of assets is called: O a Total risk O b. Alpha risk OC. Unsystematic risk O d. Systematic risk Oe. Diversifiable risk Previous page 4 5 6 7 8 Mar Security A has an expected return of 8% and a standard deviation of 7.9%. Security B has an expected retum of 10% and a standard deviation of 9.5%. The correlation coefficient between A and B is 1 (.e. the two stocks are perfectly positively correlated). It the standard deviation of the portfolio consisting of security A and B is 6.9%, what fraction of the total money has been invested in security B? (Assume short selling is alowed Note: Please retain at least 4 decimal places in your calculations and 2 decimal places in the final answer) The radion of the total money has been invested in security Bis sure %. Preimus page 5 6 7 8 9 Next page Finish attempt.... muestions attempted: 030 80830 What are the geometric and arithmetic average returns for a stock with annual returns 021%,8%, 32%, 41%, and 5%? 02 8.8%: 56% 06. 86%; 63% Oc86%;8.6% 00.56%; 63% De 5.6%8.6% unsure Previous page 6 7 8 9 10 Next page Finish atte Questions attempted 0/30 90830 You hold three stocks in your portfolio: A, B, and C. The portfolio beta is 1.46. Stock A comprises 31% of the dollar value of your holdings and has a beta of 0.91. If you sell all de your inwestoment in A and invest the proceeds in the risk-free asset, your new portfolio bela will be Note: Please retain at least 4 decimal places in your calculation and 2 decimal places in the final answer The bela of the new portidio is Preous page 7 8 9 10 Next page Finish

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