Shows all the work and shows the step by step in EXCEL. SHOW ALL THE WORK IN EXCEL AND ALSO IN DETAIL STEP BY STEP IN FORMULAS.

Return Year Problem 3: Betsy Moore wants to invest in the stocks of companies A, B, C, and D, whose annual returns for the past ten years are as shown in the table to the right. Use no more than three decimal place accuracy 1 2 3 Annual B 12.00% 8.50% 13.00% 7.80% 3.20% 11.80% 13.50% -3.50% 8.00% 9 20% 7.70% 18 50% 7.40% 17.00% 22.00% 20.50% Show the Covariance matrix below: D 11.20% 10.80% 9.70% -1.60% -4.10% 8.60% 8 80% 12.00% 4 5 10.90% 22.00% 19.00% -11.80% 12.90% -7 50% -9.30% 48.70% A B D 6 7 B D 8 Average Return Fill out the Average return for each stock. a) Solve this investment selection problem to minimize portfolio variance and show the results below: Minimum Proportion of Portfolio Invested in Variance Return w Z b) Solve this investment selection problem to maximize portfolio return and show the results below: Maximum Proportion of Portfolio Invested in Variance Return w z c) Solve the goal programming problem to minimize maximum % deviation from target. Proportion of Portfolio Invested in w Y Z Target Return Target Variance Current Variance Current Return % dev return from target % dev Variance From target Portfolio Variance d) Fill in the following: Required Minimum Portfolio Return 10% 11% 12%