Q1: Calculate the weighted HPY for the portfolio? (3 Marks) Stock # of shares Beginning Price Ending Price FB 150,000 13$ 14$ Dell 180,000 15$ 13$ Yahoo 200,000 12$ 14$ Google 210,000 16$ 17$

Q2: You have concluded that next year the following relationships are possible: (3 Marks) Economic Status Probability Rate of Return Weak Economy .10 5% Static Economy .60 5% Strong Economy .30 15% 1-What is your expected rate of return [E(Ri)] for next year? 2- Compute the standard deviation of the rate of return for the one year period. 3- Compute the coefficient of variation for your portfolio

Q3: below are actual returns for three securities for each of 6 month (5 Marks) Note: it will be easier for you using the Excel. Security 1 2 3 4 5 6 A 3.7% .4% -6.5% 1.4% 6.2% 2.1% B 10.5% .5% 3.7% 1.0% 3.4% -1.4% C 1.4% 14.9% -1.4% 10.8% 4.9% 16.9% 1- Compute the average monthly returns for each security? 2- Compute standers deviation of monthly returns of each security? 3- Compute the coefficient of variation for each security above 4- Compere between securities

Q4: Given the following market values of stocks in your portfolio and their expected rates of return, what is the expected rate of return for your common stock portfolio and its expected risk for a portfolio consisting of Disney and Starbucks with an even weight? (6 Marks) Stock Market Value ($) Million Rate of Return Disney 15,000 Starbucks 17,000 -.04 Harley 32,000 .18 Intel 23,000 .16

Q5: Calculate the price weighted index and the value weighted index? (3 Marks) T T+1 stock Price # Price # A 20 100,000,000 32 100,000,000 B 80 2,000,000 45 4,000,000 C 40 25,000,000 42 25,000,000

Please, quick, there is no time