PLEASE ANSWER WITH EXCEL

FORMULA.

5. The following table provides the 2005-2009 annual returns for AIG Insurance and New York Life Insurance. Year 2005 2006 2007 2008 2009 AIG 15.70% 42.40% 27.00% -11.80% -37.20% NYL 45.00% 33.80% -13.80% 29.40% 40.00% Required: 1. Prepare a fourth column in the chart with a combined portfolio of 30% invested in AIG and 70% invested in NYL (Portfolio AIG/NYL) 2. Determine the average returns, variance and standard deviation of AIG, NYLIFE and the combined Portfolio AIG/NYL. (20 POINTS) B D E F 2 3 4 5 6 Problem 5 7 8 9 10 Year 2005 2006 2007 2008 2009 Average Return AIG 15.70% 42.40% 27.00% - 11.80% -37.20% NYL 45.00% 33.80% -13.80% 29.40% 40.00% 11 12 13 14 15 16 Variance 17 18 Standard Deviation 19 20 MANAGERIAL FINANCE, WKSHT