Need help with the following Problem 7: thks Please provide answer on excel form.

7. Consider the following performance data for two portfolio managers (A and B) and a

common benchmark portfolio:

BENCHMARK MANAGER A MANAGER B

WeightReturn WeightReturn Weight Return

Stock 0.6 5.0% 0.5 4.0% 0.35.0%

Bonds0.3 3.5 0.22.5 0.4 3.5

Cash 0.10.3 0.3 0.30.3 0.3

a. Calculate (1) the overall return to the benchmark portfolio, (2) the overall return to

Manager A's actual portfolio, and (3) the overall return to Manager B's actual portfolio.

Briefly comment on whether these managers have under- or outperformed the

benchmark fund.

b. Using attribution analysis, calculate (1) the selection effect for Manager A, and (3) the

allocation effect for Manager B. Using these numbers in conjunction with your results

from Part a, comment on whether these managers have added value through their selection

skills, their allocation skills, or both.