Question
REALLY NEED HELP WITH THESE 3 QUESTIONS PLEASE 1.Stock A has an expected return of 10% and a standard deviation of 35%. Stock B has
REALLY NEED HELP WITH THESE 3 QUESTIONS PLEASE 1.Stock A has an expected return of 10% and a standard deviation of 35%. Stock B has an expected return of 17% and a standard deviation of 55%. The correlation coefficient between Stocks A and B is 0.2. What is the expected return of a portfolio invested 30% in Stock A and 70% in Stock B? Round your answer to two decimal places.
What is the standard deviation of a portfolio invested 30% in Stock A and 70% in Stock B? Round your answer to two decimal places.
2.APT An analyst has modeled the stock of Crisp Trucking using a two-factor APT model. The risk-free rate is 6%, the expected return on the first factor (r1) is 14%, and the expected return on the second factor (r2) is 9%. If bi1 = 0.7 and bi2 = 0.9, what is Crisp's required return? Round your answer to two decimal places.
3.Problem 3-1 Beta The standard deviation of stock returns for Stock A is 42%. The standard deviation of the market return is 25%. If the correlation between Stock A and the market is 0.80, then what is Stock A's beta? Round your answer to two decimal places.
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