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E Prubim Wald-Through Stock has a 9,5 expected burse bear, and standard deviation at expected rotum. Stooxhes 12.0% expectoratum, but coufficient of 1.1 uda on
E Prubim Wald-Through Stock has a 9,5 expected burse bear, and standard deviation at expected rotum. Stooxhes 12.0% expectoratum, but coufficient of 1.1 uda on maridard deviation. The rise on the risk pun. Calculate each stock's coefficient of variation. Do not und meditation Round your aww to two decine CV CV b. Which stock is riskler for a diversified investor 1. For diverted intora there are by Beta. Ther, the stoor wts trenipher batas niker Stockhout the per te toit saker than Stock . For diversified investora teremtrise la mesured ty standard deviation of expected retumu. Therefore, the stock nhanded devion expected retum Stock xhat the higher andare data state that stay II. For diversfied investors the realm by bits. There are the stock the lower betaler Stock Xhes the lower ta soitinkler than Stock TV For diversified investors the www is marad by standard deviation of expectes retums. Therefore, the stock with the lower dard deviannafecten in de stock Yhte er det han shoes Fordharafid investors there is mewured by theta. Therefore, the stock with the heat lossky Stock y has the higher be so it is the stock Calculate wach stocks required rate of return to the emal DE M . On the basis of the two stock wapece and required return which stock would be more attractise to diverse Calculate the required return of portfol that has 4,500 din Stock and 51.00 Stock y Do round Intermediate lotion bund your answer the capaces - If the market risk premium increased to which of the two ook would have the largestreured retum with 23
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