Question
Stock A has an expected return of 8%, a standard deviation of 33%, and a Beta (p) of 1.3. The market index has an expected
Stock A has an expected return of 8%, a standard deviation of 33%, and a Beta (p) of 1.3. The market index has an expected return of 9% and a standard deviation of 19%. What is the systematic portion of Stock A's risk? (Express as standard deviation, not variance.) a. 17.4% b. 19% c. 24.7%
A mutual fund with 100 shares outstanding ends the year with a NAV of $15. Over the prior year, assets grew by 5%. Assume management expense of 1% based on end-of-year assets. What is the NAV at the beginning of the year (before the 5% growth). a. $14.85 b. $14.14 c. $14.29 d. $14.43 d. 14%
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