Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Oct 05, 2024

Following is the actual monthly returns for Bitcoin for the past 3 months Oct, 2022: -16.23% Nov, 2022: -3.62% Dec, 2022: 27.43% Hand-calculate (i.e. without

Following is the actual monthly returns for Bitcoin for the past 3 months Oct, 2022: -16.23% Nov, 2022: -3.62% Dec, 2022: 27.43%

Hand-calculate (i.e. without the use of Excel) the following:

(1) The arithmetic average return for Bitcoin a. (-0.1623) + (-0.0362) + 0.2743 / 3 = 0.02526 = 2.526%

(2) The standard deviation for Bitcoin

(3) Assuming normal distribution, calculate the range of return that Bitcoins investor is expected to earn: a. 68% of the time; b. 95% of the time, and c. 99% of the time.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Introduction to Finance Markets, Investments and Financial Management

Authors: Ronald W. Melicher, Edgar A. Norton

16th edition

1119398282, 978-1-119-3211, 1119321115, 978-1119398288

More Books

Students also viewed these Finance questions

Question

★★★★★

An independent random sampling design was used to compare the means of six treatments based on samples of four observations per treatment. The pooled estimator of 2 is 9.12, and the sample means...

Answered: 1 week ago

Question

★★★★★

Required: Complete the table below using Variable Partitioning with compaction. Given: OSsizeMemorySize300K1024K Which job has the earliest finish time? J2 J1

Answered: 1 week ago

Question

★★★★★

If you violate guideline #1, you might say I dont know if this is true, but my sister said . . .,

Answered: 1 week ago

Question

★★★★★

Mary Givens and Peggy Moser are partners engaged in operating The G&M Doll Shop, which has employed the following persons since the beginning of the year: T. Binn (general office...

Answered: 1 week ago

Question

★★★★★

Following is the actual monthly returns for Bitcoin for the past 3 months Oct, 2022: -16.23% Nov, 2022: -3.62% Dec, 2022: 27.43% Hand-calculate (i.e. without the use of Excel) the following: (1) The...

Answered: 1 week ago

Question

★★★★★

Please solve in SQL database 1) You want Oracle to show how old are you. Show syntax for how old are you? 2) TO_CHAR command with LOW and HIGH columns Create a query that will format the DJs on...

Answered: 1 week ago

Question

★★★★★

The hottest set top box available is made by Set Top Box International. Right now, they outsell both BestBuy and Target in terms of sales. Inventory, however, is a problem for Set Top Box...

Answered: 1 week ago

Question

★★★★★

Here is the project: Project: Rockhill Shipping & Transport Company Allen, a manager of the South-Atlantic office of the Rockhill Shipping & Transport Company is negotiating a new shipping contract...

Answered: 1 week ago

Question

★★★★★

Suppose you won the lottery but not all of your winnings will come in one year. Instead, you will get a series of annual payments over the next five years. The table below tells you what your payment...

Answered: 1 week ago

Question

★★★★★

5. A consumer lives on an island where she produces two goods, x and y, according to the production possibility frontier x + y 200, and she consumes all the goods herself. Her utility function is U =...

Answered: 1 week ago

Question

★★★★★

Two 802.11 stations get frames to transmit at time t=0. The 3rd station (AP) has just finished transmitting data for a long packet at t=0 to Station 1. The transmission parameters are: Slot time=1,...

Answered: 1 week ago

Previous Question Next Question