Question: 19. a. 10.67% b. 12,81% c. 49.84% d. 41,76% e. 29.88% 19. Assume that McDonald's earns a return of 29% in a very good year,
19.
a. 10.67% b. 12,81% c. 49.84% d. 41,76% e. 29.88% 19. Assume that McDonald's earns a return of 29% in a very good year, 12% in a good year, and 4% in a bad year. What is the standard deviation of McDonald's returns if these three outcomes are equally likely? a. 12.396 b. 13.4% c. 14.2% d. 15.6% e. 16.5% 20. Suppose you are forming a portfolio of two stocks, Walmart and Coca-Cola. You plan to invest 35% of your money in Walmart, which has an expected return of 12.4%. If Coca-Cola has an expected return of 9.8%, then the expected return on
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
