Question: 1. The expected return on Walmart is 1.12% and nVidia is 5.41%. 2. The standard deviation for Walmart is 5.38% and nVidia is 7.35% Can

1. The expected return on Walmart is 1.12% and nVidia is 5.41%.

2. The standard deviation for Walmart is 5.38% and nVidia is 7.35%

Can you please complete steps 3 and 4, thank you!

1. The expected return on Walmart is 1.12% and nVidia is 5.41%.

2. The followings are weekly stock returns of Walmart (Beta=0.47) and nVidia (Beta=2.74) in the past four weeks. [Hint: Do we need to correct for selection bias?] Week of Nov. 12 Nov. 5 Oct. 29 Oct.22 Walmart 3.60% 7.46% -4.16% -2.43% nVidia 11.99% -5.05% 8.30% 6.39% (1) Find the expected return on both companies' common stocks using the four weekly returns. (2) Find the standard deviation of both companies' weekly stock returns. (3) The coviance between the two companies is -0.0023. Fill out the following table using + answers to (1) and (2)). Portfolio Weights: Portfolio Weights: Portfolio Portfolio Standard Portfolio Walmart nVidia Expected Return Deviation Beta 100% 0% WWW 90% 10% 20% 80% 70% 30% 60% 40% 50% 50% 40% 60% 30% 70% 20% 80% 10% 90% 0% 100% (4) Plot "Portfolio Expected Return and Portfolio Standard Deviation in (4) and mark the efficient frontier

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