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YES WE CAN USE EXCELLLLL You have been asked for your advice in selecting a portfolio of assets and have been supplied with the following

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You have been asked for your advice in selecting a portfolio of assets and have been supplied with the following data: . You have been told that you can create two portfolios one consisting of assets A and B and the other consisting of assets A and C-by investing equal proportions (50%) in each of the two component assets. a. What is the average expected return, r, for each asset over the 3-year period? b. What is the standard deviation, s, for each asset's expected return? c. What is the average expected return, ro, for each of the portfolios? d. How would you characterize the correlations of returns of the two assets making up each of the portfolios identified in part c? e. What is the standard deviation of expected returns, Sp, for each portfolio? f. What would happen if you constructed a portfolio consisting of assets A, B, and C, equally weighted? Would this reduce risk or enhance return? a. The average expected return, r, over the 3-year period for Asset Ais %. (Round to one decimal place.) i Data Table in order to copy its contents of the data table below into (Click on the icon here a spreadsheet.) Year 2021 2022 2023 Asset A 13% 15% 17% Projected Return Asset B 16% 14% 12% Asset C 12% 14% 16% Print Done You have been asked for your advice in selecting a portfolio of assets and have been supplied with the following data: . You have been told that you can create two portfolios one consisting of assets A and B and the other consisting of assets A and C-by investing equal proportions (50%) in each of the two component assets. a. What is the average expected return, r, for each asset over the 3-year period? b. What is the standard deviation, s, for each asset's expected return? c. What is the average expected return, ro, for each of the portfolios? d. How would you characterize the correlations of returns of the two assets making up each of the portfolios identified in part c? e. What is the standard deviation of expected returns, Sp, for each portfolio? f. What would happen if you constructed a portfolio consisting of assets A, B, and C, equally weighted? Would this reduce risk or enhance return? a. The average expected return, r, over the 3-year period for Asset Ais %. (Round to one decimal place.) i Data Table in order to copy its contents of the data table below into (Click on the icon here a spreadsheet.) Year 2021 2022 2023 Asset A 13% 15% 17% Projected Return Asset B 16% 14% 12% Asset C 12% 14% 16% Print Done

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