Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. 1. consider the following states of outcomes, prob

1. Consider the following states of outcomes, probabilities, and expected returns on only stocks three...

90.2K

Verified Solution

Question

Finance

image

1. Consider the following states of outcomes, probabilities, and expected returns on only stocks three stocks in your portfolio; X, Y, and Z. State Probability x Y Z Boom 0.15 16% 10% 22% Semi-Boom ?? 14% 8% 18% Normal 0.50 10% 6% 14% Mild-Recession 0.10 5% 4% -10% Full-Recession 0.10 -3% 2% -12% a. What is the expected return of the portfolio if $25,000 is invested in X, $35,000 in Y, and $30,000 invested in stock Z? b. What are the standard deviations of stocks X, Y, and Z

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Why are changes in the global carbon cycle important Burning increases available carbon for primary...

Biology
Q

1) Using the five conflict-handling strategies and examples from a typical workplace, describe a situation when...

Psychology
Q

1M sodium pyrophosphate is required for skeletal muscle contraction O True O False

Biology
Q

Two concentric shells kept in air have radii Ra r They have similar charge and...

Physics
Q

The bob of a 0 2 m long pendulum describes an arc of circle in...

Physics
Q

Macmillan Learning Find the area of the triangle in the figure 5 area 3 Macmillan...

Basic Math
Q

One question with sub questions ...

Accounting
Q

The following data were taken from the financial records of Wildhorse Company. Compute for each...

Accounting
Q

can someone help me with this question please thank you The Cullumber Store...

Accounting
Q

If a companys monthly costs are found according to the formula C(x)=2000+8x, where x represents...

Accounting
Q

Calculating rates of return) Blaxo Balloons manufactures and distributes birthday balloons. At the beginning of...

Finance
Q

Which of these is an example of transferring money through an hawala? Group of answer...

Finance