C11 P7 9 11 Excel Spreadsheet

C11 P7 9 11 Excel - State Probability Return Weighted Return 2 StockA 0.01 0 0 Weighted2 Problem7 Std.Dev Return Weighted Return StockB Recession

Info iconThis preview shows pages 1–7. Sign up to view the full content.

View Full Document Right Arrow Icon
Problem 7 State Probability Return Δ2 Weighted Δ2 Std. Dev. Return Stock A Recession 0.20 1.00% 0.20% 0.01 0 -25.00% -5.00% Normal 0.55 9.00% 4.95% 0 0 15.00% 8.25% Boom 0.25 14.00% 3.50% 0 0 38.00% 9.50% 8.65% 0 4.35% 12.75% Weighted  Return Weighted  Return Variance Expected Return Expected Return
Background image of page 1

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

View Full DocumentRight Arrow Icon
Δ2 Weighted Δ2 Std. Dev. Stock B 0.14 0.03 0 0 0.06 0.02 0.04 21.15% Variance
Background image of page 2
Problem 9a State Probability Return A Weighted A Return B Weighted B Return C Weighted C Boom 0.65 8.00% 2.67% 2.00% 0.67% 23.00% 7.67% 11.00% Bust 0.35 12.00% 4.00% 18.00% 6.00% -3.00% -1.00% 9.00% Portfolio Weight 0.33 0.33 0.33 Portfolio  Return
Background image of page 3

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

View Full DocumentRight Arrow Icon
7.15% 3.15% 10.30% Weighted  Portfolio  Return Expected Portfolio Return
Background image of page 4
Problem 9b State Probability
Background image of page 5

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

View Full DocumentRight Arrow Icon
Background image of page 6
Background image of page 7
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 04/05/2011 for the course FIN 350 taught by Professor Debruinne during the Winter '11 term at Grand Valley State University.

Page1 / 7

C11 P7 9 11 Excel - State Probability Return Weighted Return 2 StockA 0.01 0 0 Weighted2 Problem7 Std.Dev Return Weighted Return StockB Recession

This preview shows document pages 1 - 7. Sign up to view the full document.

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