FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You create a two-stock portfolio based on the information below. Dotery and Flamz have a correlation of 0.84 What is the standard deviation of the

image text in transcribed
You create a two-stock portfolio based on the information below. Dotery and Flamz have a correlation of 0.84 What is the standard deviation of the return on your portfolio? Please enter your answer as a percentage to two decimal places, e.g. enter 0.1346 or 13.46% as 13.46. No percentage sign

Step by Step Solution

There are 3 Steps involved in it

Step: 1

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

blur-text-image

Step: 3

blur-text-image

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

The Budget Building Book For Nonprofits

The Budget Building Book For Nonprofits

Authors: Murray Dropkin, Jim Halpin, Bill La Touche

2nd Edition

0787996033, 978-0787996031

More Books

Students also viewed these Finance questions

Question

★★★★★
The initial and final velocities of an object are as shown in Figure. Indicate the direction of the average acceleration. 'a

Answered: 1 week ago

Question

★★★★★
20. In a study of the Marfan syndrome, Pyeritz et al. (A-29) reported the following severity scores of patients with none, mild, and marked dural ectasia. May we conclude, on the basis of these data,...

Answered: 1 week ago

Question

★★★★★
Max Weinberg is studying for an accounting test and has developed the following questions about investments. 1. What are three reasons why companies purchase investments in debt or stock securities?...

Answered: 1 week ago

Question

★★★★★
Current Attempt in Progress The expected value of a normal distribution of prices for a stock is $ 5 1 . If you are 9 0 percent sure that the price of the stock will be between $ 3 6 and $ 6 6 . 0 0...

Answered: 1 week ago

Question

★★★★★
. According to the maturity model of e - government development proposed by Layne and Lee ( 2 0 0 1 ) , which option best captures the essence of the different stages? ( A ) Transaction: The USPS...

Answered: 1 week ago

Question

★★★★★
Assume stock ABC has a Sharpe ratio of 0.8. Let's say there is a portfolio with 50% weight in stock ABC and 50% weight in risk-free asset, what is the portfolio's Sharpe ratio based on this...

Answered: 1 week ago

Question

★★★★★
1. If the present value of $280 paid one year from now is $250, what is the one- year discount factor? *Make sure to input all currency answers without any currency symbols or commas, and use two...

Answered: 1 week ago

Question

★★★★★
If I have a product that I want to use in my buisness that cost $75,000 to instill, and I use the product 20 times per week at a cost of $98 per person, what is my break even point?

Answered: 1 week ago

Question

★★★★★
The following is information related to Blossom Company for its first month of operations Credit Sales Cash Collections Jan.? Austin Co $10.200 Jan. 17 Austin Co 57,200 15 Diaz Co. 6.200 24 Day Ci...

Answered: 1 week ago

Question

★★★★★
Jackson Inc. has EPS of $5.625 with a return ratio of 60%. The annual growth rate in dividends is expected to be 6% and Jackson's shareholders require a return of 11%. The stock price is closest to:

Answered: 1 week ago

Question

★★★★★
Identify the issues that arose over the call- centre strike in 2012. Put forward arguments for both the union and management sides in this issue. Discuss the proposition that the growth of call...

Answered: 1 week ago

Question

★★★★★
Read the articles and case studies on e- learning and blended learning and suggest how these might be used in (a) a supermarket chain, (b) a bank and (c) a government department of your choice.

Answered: 1 week ago

Question

★★★★★
Look up the case in spotlight on the law 9.3. Discuss how you would respond, as a tribunal member, to a claim by a citizen of Leeds that they have been discriminated against because of their location...

Answered: 1 week ago

Previous Question Next Question