Question
Year Tippy Stock Sibbit Stock S&P 500 2007 -10.80% 3.85% -2.87% 2008 -3.50% -7.25% 3.39% 2009 4.90% 4.33% 1.45% 2010 2.90% 8.21% 4.56% 2011 -3.80%
| Year | Tippy Stock | Sibbit Stock | S&P 500 |
| 2007 | -10.80% | 3.85% | -2.87% |
| 2008 | -3.50% | -7.25% | 3.39% |
| 2009 | 4.90% | 4.33% | 1.45% |
| 2010 | 2.90% | 8.21% | 4.56% |
| 2011 | -3.80% | -2.55% | -2.38% |
The Z-statistic at the 5% confidence level is 1.6449
The Z-statistic at the 10% confidence level is 1.2816
The Z-statistic at the 1% confidence level is 2.3263
6. What is the maximum expected loss for stock Tippy stock at the 5% confidence level using beta?
7. What is the maximum dollar loss if you invest $4,000,000 in Tippy stock using beta?
8. What are the Sharpe and Treynor index for Sibbit stock? Assume that T-bill rate is 0.05%
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
