Question: 1. Use the Excel file Asset Allocation Data to determine the following: a. Create a one-way data table that determines the different means and standard
1. Use the Excel file Asset Allocation Data to determine the following: a. Create a one-way data table that determines the different means and standard deviations for combinations of Portfolio 1 and Portfolio 2 by varying the proportion of Portfolio 1. b. Graph the combinations of the portfolios from the one-way data table and add the individual asset means and standard deviations to the graph. A B C D E F G J L M N O P 1 Asset Allocation Data 2 Variance-covariance matrix Means Asset Port. 1 Investment Port. 2 Investment 3 4 Stock G 0.0010 5 6 7 Stock A 0.0012 0.0014 0.0016 0.0006 0.0015 0.0018 0.0010 Stock A Stock B Stock C Stock D Stock E Stock F Stock G Stock B 0.0014 0.0298 0.0084 0.0117 0.0048 0.0035 0.0051 Stock C 0.0016 0.0084 0.0141 0.0114 0.0052 0.0062 0.0049 Stock D 0.0006 0.0117 0.0114 0.0139 0.0023 0.0042 0.0040 Stock E 0.0015 0.0048 0.0052 0.0023 0.0058 0.0020 0.0023 Stock F 0.0018 0.0035 0.0062 0.0042 0.0020 0.0065 0.0031 0.0051 0.0049 0.0040 0.0023 8 9 10 1.7464% 10.1371% 2.1050% 5.6638% 3.5902% 5.9429% 1.5438% Stock A Stock B Stock C Stock D Stock E Stock F Stock G $350 $900 $700 $850 $375 $625 $400 $500 $400 $700 $600 $800 $900 $1,000 0.0031 0.0024 11 12 1. Use the Excel file Asset Allocation Data to determine the following: a. Create a one-way data table that determines the different means and standard deviations for combinations of Portfolio 1 and Portfolio 2 by varying the proportion of Portfolio 1. b. Graph the combinations of the portfolios from the one-way data table and add the individual asset means and standard deviations to the graph. A B C D E F G J L M N O P 1 Asset Allocation Data 2 Variance-covariance matrix Means Asset Port. 1 Investment Port. 2 Investment 3 4 Stock G 0.0010 5 6 7 Stock A 0.0012 0.0014 0.0016 0.0006 0.0015 0.0018 0.0010 Stock A Stock B Stock C Stock D Stock E Stock F Stock G Stock B 0.0014 0.0298 0.0084 0.0117 0.0048 0.0035 0.0051 Stock C 0.0016 0.0084 0.0141 0.0114 0.0052 0.0062 0.0049 Stock D 0.0006 0.0117 0.0114 0.0139 0.0023 0.0042 0.0040 Stock E 0.0015 0.0048 0.0052 0.0023 0.0058 0.0020 0.0023 Stock F 0.0018 0.0035 0.0062 0.0042 0.0020 0.0065 0.0031 0.0051 0.0049 0.0040 0.0023 8 9 10 1.7464% 10.1371% 2.1050% 5.6638% 3.5902% 5.9429% 1.5438% Stock A Stock B Stock C Stock D Stock E Stock F Stock G $350 $900 $700 $850 $375 $625 $400 $500 $400 $700 $600 $800 $900 $1,000 0.0031 0.0024 11 12
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