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Consider the following information about three stocks: Rate of Return If State Occurs State of Probability of Economy State of Economy Stock A Stock B

Consider the following information about three stocks:

Rate of Return If State Occurs
State of Probability of
Economy State of Economy Stock A Stock B Stock C
Boom .26 .26 .38 .55
Normal .50 .21 .19 .17
Bust .24 .05 .38 .46

a-1.

If your portfolio is invested 35 percent each in A and B and 30 percent in C, what is the portfolio expected return? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

a-2. What is the variance? (Do not round intermediate calculations and round your answer to 5 decimal places, e.g., .16161.)
a-3. What is the standard deviation? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
b. If the expected T-bill rate is 4.10 percent, what is the expected risk premium on the portfolio? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
c-1. If the expected inflation rate is 3.70 percent, what are the approximate and exact expected real returns on the portfolio? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)
c-2. What are the approximate and exact expected real risk premiums on the portfolio?(Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)
a-1. Portfolio expected return 13.58 %
a-2. Variance
a-3. Standard deviation %
b. Expected risk premium 9.48 %
c-1. Approximate expected real return 9.88 %
Exact expected real return 9.53 %
c-2. Approximate expected real risk premium %
Exact expected real risk premium %

I do not know how to upload my ecel sheet so you can see my calculations. but I would like to have the formulas in excel to show me how to calculate the answers for A2, A3, and both of C2. Thanks you!

35% 30%
State of Economy Probibility of State of Economy Return on Stock A Return on Stock B Return on Stock C Expected Return A Expected Return B Expected Return C
(a) (b) (c) (d) (a*b) (a*c) (a*d)
Boom 0.26 0.26 0.38 0.55 0.0676 0.0988 0.1430 0.2980 29.80% BOOM
Normal 0.50 0.21 0.19 0.17 0.1050 0.0950 0.0850 0.1175 11.75% NORM
Bust 0.24 0.05 -0.38 -0.46 0.0120 -0.0912 -0.1104 -0.0965 -9.65% BUST
Total 0.1846 0.1026 0.1176
Weight of Stocks 0 0.03591 0.03528
Exp Return on Port 0.07119 13.58%
9-A-2&3
State of Economy Probibility of State of Economy Market Return (Market Return)^2 (C)^2 Expected Return * (Market return)^2 (b*d) Expected Return (b*c)
(a) (b) (C) (d) (e) (f)
Boom 0.26 0.2050 0.042025 0.010927 0.053300
Normal 0.5 0.1305 0.017030 0.008515 0.065250
Bust 0.24 -0.0965 0.009312 0.002235 -0.023160
Total 1 0.021677 0.095390
Varience 0.24802 24.8024%
Standard Devation 0.498020 49.80% c

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