Business, 17.08.2021 20:30 iseestars3748

Suppose you have $100,000 in cash, and you decide to borrow another $15,000 at a 4% interest rate to invest in the stock market. You invest the entire $115,000 in a portfolio J with a 15% expected return and a 25% volatility. Required:
a. What is the expected return and volatility (standard deviation) of your investment?
b. What is your realized return if J goes up 25% over the year? What return do you realize if J falls by 20% over the year?

Answers: 3

Show answers

Other questions on the subject: Business

Business, 21.06.2019 16:30, lakesha04begaye

Which of the following is the least effective way to reach a potential sales prospect? referral cold call direct mail personal visit

Answers: 3

continue

Business, 21.06.2019 20:20, AquaNerd5706

Aproduction order quantity problem has a daily demand rate = 10 and a daily production rate = 50. the production order quantity for this problem is approximately 612 units. what is the average inventory for this problem?

Answers: 1

continue

Business, 22.06.2019 16:30, cadenbukvich9923

Why is investing in a mutual fund less risky than investing in a particular company’s stock?

Answers: 3

continue

Business, 22.06.2019 20:00, oliviac0327

Describe a real or made-up but possible example of a situation where an employee faces a conflict of interest. explain at least two things the company could do to make sure the employee won't be tempted into unethical behavior by that conflict of interest. (3.0 points)

Answers: 3

continue

You know the right answer?

Suppose you have $100,000 in cash, and you decide to borrow another $15,000 at a 4% interest rate to...