Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Feb 16, 2024

what's the main reason finance textbooks use means and standard deviations to measure the return and risk in the stock market? Are there any other

what's the main reason finance textbooks use means and standard deviations to measure the return and risk in the stock market?
Are there any other (maybe more useful) measures of risk and return?

Step by Step Solution

★★★★★

3.39 Rating (149 Votes )

There are 3 Steps involved in it

Step: 1

Finance textbooks commonly use means and standard deviations to mea... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

A Pathway To Introductory Statistics

Authors: Jay Lehmann

1st Edition

0134107179, 978-0134107172

More Books

Students also viewed these Finance questions

Question

"I'm not sure we should lay out $300,000 for that automated welding machine," said Jim Alder, president of the Superior Equipment Company. "That's a lot of money, and it would cost us $84,000 for...

Answered: 1 week ago

Question

★★★★★

Chris Angelis looked at his watch he would have enough time. At this point in his career, he knew about Washington, DC, traffic, and how to leave enough time so that he was never late. He hoped the...

Answered: 1 week ago

Question

★★★★★

Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...

Answered: 1 week ago

Question

★★★★★

1- What signal is produced if the sampling frequency is equal to Fm? 2- Find the range of the cutoff frequency funt for LPF required to reconstruct the original signal from the sampled one. 3- If the...

Answered: 1 week ago

Question

★★★★★

Define extrapolation?

Answered: 1 week ago

Question

★★★★★

Do you agree the old consumer- motive of getting something attractive for nothing" is replaced in that the pleasure in shopping today is more recognized and catered today, e.g." shop till you drop."?

Answered: 1 week ago

Question

★★★★★

What is the general form of the ???? statistic for comparing the mean when two independent random samples have been collected?

Answered: 1 week ago

Question

★★★★★

Consider the Emarpy Appliance situation in Problem 6-56. If Richard Feehan wants to minimize the total annual inventory cost, how many refrigerators should be produced in each production run? How...

Answered: 1 week ago

Question

★★★★★

Plaza, Inc., acquires 80 percent of the outstanding common stock of Stanford Corporation on January 1, 2018, in exchange for $862000 cash. At the acquisition date, Stanford's total fair value,...

Answered: 1 week ago

Question

★★★★★

On 1 June 2023, SydGee began trading as a landscape retail material supplier. The transactions for the month of June 2023 were as follows (ignore GST): TRANSACTIONS FOR THE PERIOD MONTH DATE...

Answered: 1 week ago

Question

★★★★★

22. (2 Pts) The easiest way to improve labor costs is to a. Train the workforce to increase productivity. b. Reduce the number of higher paid unskilled workers. c. Implement management skills. d. Do...

Answered: 1 week ago

Question

★★★★★

Pittsburgh-based FreeMarkets, now part of SAP Ariba, has developed software enabling large industrial buyers to organize online auctions for qualified suppliers of semistandard parts such as...

Answered: 1 week ago

Question

★★★★★

Lack of knowledge and experience, combined with overconfidence and arrogance causes organizational bias. Question 3 options: True False

Answered: 1 week ago

Question

★★★★★

Kinematics Review Assignment 1: Motion Analysis 1. For the following P vs T graph: 13 Position {m} .10 20 Time {5] a. Complete the table (12 marks) Position (m) Kinematics Review Assignment 1: Motion...

Answered: 1 week ago

Question

★★★★★

What corrections would need to be made to the legal citation Doniphan v. Restler, 489 Conn. Cir. 522 (1983)?

Answered: 1 week ago

Question

★★★★★

Research the "Span of Control" theory of Vytautas Andrius Graiciunas (1898-1952) a Lithuanian-French management consultant, management theorist, and engineer. and answer the following three questions...

Answered: 1 week ago

Question

★★★★★

Sample run 2 : - - - - - Magic Square Checker - - - - - Please enter the numbers 1 through 9 : 1 4 6 , 7 8 x 5 Numbers do not make a square of size 3 ! Sample run 3 : Please enter the numbers 1...

Answered: 1 week ago

Question

★★★★★

Prove the following D,(cos x) = - sin x (Hint: Apply the identity cos(A + B) = cos A cos B sin A sin B)

Answered: 1 week ago

Question

★★★★★

Recall that we can describe some or all of the inputoutput pairs of a function by means of an equation, a graph, a table, or words. a. Describe the inputoutput pairs of y = 3x - 2 by using a graph....

Answered: 1 week ago

Question

★★★★★

A pizza restaurant claims that its mean delivery time is 30 minutes. An independent company times a randomly selected delivery, which takes 40 minutes. a. Assuming the delivery times are...

Answered: 1 week ago

Question

★★★★★

4 / 7 b = 5/21

Answered: 1 week ago

Question

★★★★★

38. In Exercise 37, suppose that you also wanted to consider samples of other sizes. (a) Find EVSI for a sample of size 2. (b) Find EVSI for a sample of size 5. (c) Find EVSI for a sample of size 10....

Answered: 1 week ago

Question

★★★★★

39. Consider a bookbag filled with 100 poker chips. You know that either 70 of the chips are red and the remainder blue, or that 70 are blue and the remainder red. You must guess whether the bookbag...

Answered: 1 week ago

Question

★★★★★

42. Suppose that the payoff functions of two actions are P (oi, y) = 50 + .5y and P(a2, y) = 70 .5/x, where y is the mean of a normal process with variance 1200. (a) Find the breakeven value, /i&....

Answered: 1 week ago

Previous Question Next Question