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Consider the following information on Stocks A, B, C and their returns (in decimals) in each state: State Prob. of State A B C Boom
Consider the following information on Stocks A, B, C and their returns (in decimals) in each state:
State | Prob. of State | A | B | C |
Boom | 20% | 0.27 | 0.19 | 0.15 |
Good | 45% | 0.14 | 0.09 | 0.07 |
Poor | 25% | 0.02 | 0.02 | 0.04 |
Bust | 10% | -0.09 | -0.05 | -0.02 |
If your portfolio is invested 25% in A, 40% in B, and 35% in C, what is the standard deviation of the portfolio in percent? Answer to two decimals, carry intermediate calcs. to at least four decimals.
Question 5 1 pts Consider the following information on Stocks A, B, C and their returns (in decimals) in each state: State Boom Good Poor Bust 0.15 0.07 0.04 0.02 If your portfolio is invested 25% in A, 40% in B, and 35% in C, what is the standard Prob. of State 20% 45% 25% 10% 0.27 0.14 0.02 0.09 0.19 0.09 0.02 0.05 deviation of the portfolio in percent? Answer to two decimals, carry intermediate calcs. to at least four decimalsStep by Step Solution
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