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An asset has had an arithmetic return of 1 1 . 1 percent and a geometric return of 9 . 1 percent over the last
An asset has had an arithmetic return of percent and a geometric return of percent over the last years. What return would you estimate for this asset over the next years? years? years? Do not round intermediate calculations and enter your answers as a percent rounded to decimal places, eg
table years,,
Problem Determining Portfolio Weights LO
What are the portfolio weights for a portfolio that has shares of Stock A that sell for $ per share and shares of Stock B that sell for $ per share? Do not round intermediate calculations and round your answers to decimal places, eg
Problem Systematic versus Unsystematic Risk LO
Consider the following information about Stocks I and II:
tableState of Economy,tableProbability of State ofEconomytableRate of Return if StateOccursStock I,Stock IIRecessionNormalIrrational exuberance,
The market risk premium is percent, and the riskfree rate is percent. Do not round intermediate calculations. Enter your standard deviation answers as a percent rounded to decimal places, eg Round your beta answers to decimal places, eg
tableThe standard deviation on Stock Is return ispercent, and the Stock I beta isdeviation on Stock II's return ispercent, and the Stock II beta isstocks systematic riskbeta Stock,,is "riskier".
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