Using the data in the following table, and the fact that the correlation of A and B

Fantastic news! We've Found the answer you've been seeking!

Question:

Using the data in the following table, and the fact that the correlation of A and B is 0.47, calculate the volatility (standard deviation) of a portfolio that is 55% invested in stock A and 45% invested in stock B The return of stock A is %. (Round to two decimal places.) The return of stock B Is % (Round to two decimal places ) The variance of stock A Is (Round to five decimal places ) The variance of stock B is (Round to five decimal places.) The standard deviation of stock A Is %. (Round to two decimal places.) The standard deviation of stock B is %. (Round to two decimal places.) to five decimal places

Posted Date: May 18, 2024 08:11 AM

See More Questions

Shapiro Inc. was incorporated in 2013 to operate as a computer software service firm with an accounting fiscal year ending August 31. Shapiro's primary product is a sophisticated online...
Relative to worker compensation, no topic is more hotly debated than the minimum wage law. Using concepts from this chapter, prepare a report in which you explain why increases in the minimum wage...
You are considering two stocks and have determined the following information: a. Which of the two stocks has the higher expected return? b. Which stock is riskier? c. Given your answers to the two...
In Problem $15 . \mathrm{H} 5$ changing the pressure changes the diffusivities but does not change the Henry's law constant of ammonia. However, changing the pressure does change the surface...
Zlin Aerospace Corporation reported the following equity account balances on December 31, 2013: Preferred shares, $3.60 cumulative, unlimited shares authorized ........................ $ -0- Common...
Current Attempt in Progress Using the base case, calculate the composite effects of a 5 percent increase in Sales, a 2 percent decrease in Gross Margin, and a 5 percent increase is SG&A as percent of...
J. Kamas and G. Charrier have been operating a catering business for several years. In March, the partners plan to expand by opening a retail sales shop. They have decided to form the business as a...
Given the challenges such as resistance among employees and the need for accurate benchmarking data, how do you think organizations can effectively implement benchmarking practices?
Find the derivative of the function. f(x) = In(9x) f'(x) = Need Help? Read It Watch It
A mortgage company offers borrowers a 3% annual interest rate on the one-year ARM that is amortized for 30 years. The index rate is forecast to be 4.5% for next year and the margin on this loan is...
How does the balanced scorecard dashboard help management quickly identify issues? What category of visualizations did you produce in this lab? What additional visualizations might you include on...
A machine will cost $755,000. After six years of useful life, the machine will have no salvage value. The machine is placed into the 20% CCA asset class and qualifies for the Accelerated Investment...
Bailey Bentley has just inherited some money from a long lost relative The inheritance is set up so that Bailey will receive 25000 per year for the next 20 years starting TODAY How much is Baileys...
Rewrite Programming Exercise 7.5 using streams. Display the numbers in increasing order. Data from Programming Exercise 7.5 Write a program that reads in 10 numbers and displays the number of...
Use the statement of cash flows started in Application Problem 18-2. The comparative balance sheet of Flexcor Corporation lists the following long-term liability and its ending balance for the...
Use the abbreviated comparative financial statements for West Coast Construction, Inc. in the Working Papers. Instructions: 1. Review the comparative income statement and identify the amounts of net...
Use the abbreviated comparative financial statements for Pacific Digital Corporation in the Working Papers. The comparative balance sheet for Pacific Digital Corporation lists an intangible asset,...

Using the data in the following table, and the fact that the correlation of A and B

Question:

Expert Answer:

Students also viewed these finance questions