Rate of Return If State Occurs State of Probability of State of Economy Economy Stock A...

Question:

Rate of Return If State Occurs State of Probability of State of Economy Economy Stock A Stock B Stock C .55 .06 14 Boom Bust .45 .34 -.07 10 .02 a. What is the expected return on an equally weighted portfolio of these three stocks? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What is the variance of a portfolio invested 22 percent each in A and B and 56 percent in C? (Do not round intermediate calculations and round your answer to 6 decimal places, e.g., 161616.)

Similar Solved Questions

A hundred players are participating in this game (N = 100). Each player has to choose...
A hundred players are participating in this game (N = 100). Each player has to choose an integer between 1 and 100 in order to guess “5/6 of the average of the responses given by all players”. Each player who guesses the integer closest to the 5/6 of the average of all the responses, win...
Non-Constant Growth Valuation: Divining Rod Water Resources Corp (DRWR) has experienced rapid growth that is expected...
Non-Constant Growth Valuation: Divining Rod Water Resources Corp (DRWR) has experienced rapid growth that is expected to continue for the next several years. Specifically, high growth of 30% for the next three years, followed by constant growth of 6% thereafter is expected. The most recent dividend ...
For the following set of data, please find the mode, median, standard deviation a t-test: FEMALES: 1 Time: 225.620 Reaction: 0.262 2 Time: 400.040 Reaction: 0.234 3 Time: 469.160 Reaction: 0.199 4 Ti...
For the following set of data, please find the mode, median, standard deviation a t-test: FEMALES: 1 Time: 225.620 Reaction: 0.262 2 Time: 400.040 Reaction: 0.234 3 Time: 469.160 Reaction: 0.199 4 Time: 386.390 Reaction: 0.259 5 Time: 345.540 Reaction: 0.243 6 Time: 351.880 Reaction: 0.301 7 Time: ...
What is one way a financial crisis can start? financial liberalization debt deflation currency manipulation a...
What is one way a financial crisis can start? financial liberalization debt deflation currency manipulation a banking crisis...