All your final answers must be typed. You can use Excel to do the calculations for the second question. Attached a scanned copy that shows your scratch-work for all computational problems. Please submit all your answers to Canvas before the deadline. Late submissions will result in a grade of zero without exception! Data: This project makes use of annual data for two risky securities: the S\&P 500 Index and Gold. Annual values for each of these securities during the period from 1975-2022 are provided in a spreadsheet posted on Canvas 1. You should use an annual risk-free rate of 4% for this project. 1. Return Calculations: Calculate annual returns for each of the two securities from 1976 through 2022. Calculate the average annual return, the standard deviation of annual returns, and the correlation between the returns of the two securities during this period and fill in the table provided. (Note: all of these calculations are based on annual security \% returns NOT index values). Attach the spreadsheet showing all of the relevant calculations as Exhibit 1 . Some useful Excel functions: to compute average return, use the function AVERAGE; for standard deviation, use STDEV; for correlation, use CORREL. 2. Sharpe Ratios: What are the Sharpe ratios for the S\&P and Gold? 1. The numbers for 2022 are up to October. 3. Equal-weighted Portfolios: Calculate the expected returns and standard deviations of the equal-weighted portfolio that invests 50% and 50% in the two risky securities (S\&P and Gold). What is its Sharpe Ratio? 4. The Tangency Portfolio : What are the portfolio weights in the Tangency Portfolio? What are the mean and standard deviation of the Tangency Portfolio? What is its Sharpe Ratio? 5. The Minimum-Variance Portfolio: What are the portfolio weights in the Minimum Variance Portfolio? What are the mean and standard deviation of the Minimum Variance Portfolio? What is its Sharpe Ratio? All your final answers must be typed. You can use Excel to do the calculations for the second question. Attached a scanned copy that shows your scratch-work for all computational problems. Please submit all your answers to Canvas before the deadline. Late submissions will result in a grade of zero without exception! Data: This project makes use of annual data for two risky securities: the S\&P 500 Index and Gold. Annual values for each of these securities during the period from 1975-2022 are provided in a spreadsheet posted on Canvas 1. You should use an annual risk-free rate of 4% for this project. 1. Return Calculations: Calculate annual returns for each of the two securities from 1976 through 2022. Calculate the average annual return, the standard deviation of annual returns, and the correlation between the returns of the two securities during this period and fill in the table provided. (Note: all of these calculations are based on annual security \% returns NOT index values). Attach the spreadsheet showing all of the relevant calculations as Exhibit 1 . Some useful Excel functions: to compute average return, use the function AVERAGE; for standard deviation, use STDEV; for correlation, use CORREL. 2. Sharpe Ratios: What are the Sharpe ratios for the S\&P and Gold? 1. The numbers for 2022 are up to October. 3. Equal-weighted Portfolios: Calculate the expected returns and standard deviations of the equal-weighted portfolio that invests 50% and 50% in the two risky securities (S\&P and Gold). What is its Sharpe Ratio? 4. The Tangency Portfolio : What are the portfolio weights in the Tangency Portfolio? What are the mean and standard deviation of the Tangency Portfolio? What is its Sharpe Ratio? 5. The Minimum-Variance Portfolio: What are the portfolio weights in the Minimum Variance Portfolio? What are the mean and standard deviation of the Minimum Variance Portfolio? What is its Sharpe Ratio