assign6 - C Economy Declines 0.4 500-2000-7000 No Change...

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Robert Garrett Econ 242 Discrete Probability Distributions PORTFOLIO SELECTION Event P(Event) A B C Economy Declines 0.3 500 -2000 -7000 No Change 0.5 1000 2000 -1000 Economy Expands 0.2 2000 5000 20000 E(X) 1050 1400 1400 VAR(X) 272500 6240000 93240000 STD(X) 522.02 2498 9656.09 PORTFOLIO SELECTION Event P(Event) A B C Economy Declines 0.1 500 -2000 -7000 No Change 0.6 1000 2000 -1000 Economy Expands 0.3 2000 5000 20000 E(X) 1250 2500 4700 VAR(X) 262500 4050000 ### STD(X) 512.35 2012.46 10169.07 PORTFOLIO SELECTION Event P(Event) A B
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Unformatted text preview: C Economy Declines 0.4 500-2000-7000 No Change 0.4 1000 2000-1000 Economy Expands 0.2 2000 5000 20000 E(X) 1000 1000 800 VAR(X) 300000 7200000 99360000 STD(X) 547.72 2683.28 9967.95 PORTFOLIO SELECTION Event P(Event) A B C Economy Declines 0.6 500-2000-7000 No Change 0.3 1000 2000-1000 Economy Expands 0.1 2000 5000 20000 E(X) 800-100-2500 VAR(X) 210000 6090000 63450000 STD(X) 458.26 2467.79 7965.55...
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This homework help was uploaded on 04/18/2008 for the course ECON 242 taught by Professor Wambheim during the Spring '08 term at Luther.

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