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Go to finance.yahoo.com/stock-center, choose 5 different stocks and using their symbols click on Search Finance. a. What is the average daily trading volume (Avg Vol)?

Go to finance.yahoo.com/stock-center, choose 5 different stocks and using their symbols click on "Search Finance."

a. What is the average daily trading volume (Avg Vol)? What is the market capitalization of the firm? What is its price-earnings ratio (P/E)? What is the amount of dividends paid, if any, and what is the dividend yield (Div & Yield)? What is the firm's beta?

b. Go to the bottom of the stock price chart and retrieve the end-of-month stock price of Intel over the last 12 months. Record this information in an Excel spreadsheet and estimate the standard deviation of the stock's price movements. (See Appendix B for guidance on how to estimate the standard deviation of a stock's price movements.) Repeat the process for all 5 stocks. Which stock does your analysis show to be riskier? Assume that the expected return on these stocks is 0 percent for the next month. Use the value-at-risk method to determine the maximum expected loss of these stocks for the next month, based on a 95 percent confidence level.

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