Question
Eg 1: Suppose the current price of gold is $930/Ounce. Suppose also that the price 1 month from today has a normal distribution with mean
Eg 1: Suppose the current price of gold is $930/Ounce. Suppose also that the price 1 month from today has a normal distribution with mean =930 and standard deviation =15 (obtained from recent estimates of volatility). a) If you own 1 Ounce of gold what is the 5% VaR?
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Financial management theory and practice
Authors: Eugene F. Brigham and Michael C. Ehrhardt
12th Edition
978-0030243998, 30243998, 324422695, 978-0324422696
