Assignment 3

Assignment 3 - FINA 127 Assignment #3: Instructions: Please...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: FINA 127 Assignment #3: Instructions: Please type your responses and upload them via the link in Blackboard no later than 9:00 AM Friday 3/26/10. This assignment consists of quantitative and essay-style questions. Please show any relevant interim steps in order to receive partial credit. Keep your responses to the essay questions short and sweet and to the point. Lastly, I am familiar with many of the online information sources and I have access to all of the same sources that you do. In short, please adhere to GWs Code of Academic Conduct. Although it should not be necessary, if you feel the need to seek an outside source, be sure to document it properly. PLAGIARISM WILL NOT BE TOLERATED! 1. The table below gives the year-end closing prices for MM Inc., an up-and-coming financial consulting firm started by the unheralded Wizard of Wall Street, and the normalized values of the Wilshire 5000 index: Year MM Inc. Wilshire 5000 2005 $250 100 2006 $280 104 2007 $268 102 2008 $329 112 You may assume that this data represents the population. Please calculate the following: A) The standard deviation for both MM Inc. and the Wilshire 5000. MM = .1112 Wilshire = .0478 B) The covariance between MM Inc. and the Wilshire 5000. .00529 C) The beta of MM Inc. .00529/.0022= .11 = 2.4 2. You hold a portfolio consisting of 45% stock A and the rest invested in stock B....
View Full Document

Page1 / 5

Assignment 3 - FINA 127 Assignment #3: Instructions: Please...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online