Question

Question 27 Given an average return of 11.90% and a volatility of 13 80%, what is the equivalent standard value for a return of-0 66%? nstruction ound only the final answer. Intermediate answers should not be rounded Answer: -D- Enter the correct value
0 0
Add a comment Improve this question Transcribed image text
Answer #1

Solution would be

Equivalent Standard value of -0.66%

= (-0.66-11.90)/13.80

= -0.91

So, answer is -0.91

Add a comment
Know the answer?
Add Answer to:
Question 27 Given an average return of 11.90% and a volatility of 13 80%, what is...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Suppose the returns on an asset are normally distributed. The historical average annual return for the...

    Suppose the returns on an asset are normally distributed. The historical average annual return for the asset was 6.3 percent and the standard deviation was 16.3 percent. a. What is the probability that your return on this asset will be less than –3.7 percent in a given year? Use the NORMDIST function in Excel® to answer this question. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What range...

  • Return to question A particular stock has a dividend yield of 1.1 percent. Last year, the...

    Return to question A particular stock has a dividend yield of 1.1 percent. Last year, the stock price fell from $66 to $49. What was the return for the year? (A negative value should be indicated by a minus sign. Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) points Answer is complete but not entirely correct. Return for the (2.47) ® % year

  • Suppose the returns on an asset are normally distributed The historical average annual return for the...

    Suppose the returns on an asset are normally distributed The historical average annual return for the asset was 76 percent and the standard deviation was 8.6 percent. What is the probability that your return on this asset will be less than 93 percent in a given year? Use the NORMDIST function in Excele to answer this question (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Probability What range of returns...

  • Suppose the returns on an asset are normally distributed. The historical average annual return for the asset was 6.7 pe...

    Suppose the returns on an asset are normally distributed. The historical average annual return for the asset was 6.7 percent and the standard deviation was 12.6 percent. a. What is the probability that your return on this asset will be less than -10.1 percent in a given year? Use the NORMDIST function in Excel to answer this question. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b.What range of...

  • Over a particular period, an asset had an average return of 12.0 percent and a standard...

    Over a particular period, an asset had an average return of 12.0 percent and a standard deviation of 20.4 percent. What range of returns would you expect to see 95 percent of the time for this asset? (A negative answer should be indicated by a minus sign. Input your answers from lowest to highest to receive credit for your answers. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) -...

  • You are given the following information:      State of Economy Return on Stock A Return on...

    You are given the following information:      State of Economy Return on Stock A Return on Stock B   Bear .103 −.046                Normal .114 .149                Bull .074 .234                 Assume each state of the economy is equally likely to happen.    Calculate the expected return of each of the following stocks. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)    Expected return   Stock A %   Stock B...

  • Year Returns X Y 12 % 25 % 28 34 9 13 - 7 -27 10...

    Year Returns X Y 12 % 25 % 28 34 9 13 - 7 -27 10 14 3 4 5 Using the returns shown above, calculate the arithmetic average returns, the variances, and the standard deviations for X and Y. (Do not round intermediate calculations. Enter your average return and standard deviation as a percent rounded to 2 decimal places, e.g., 32.16, and round the variance to 5 decimal places, e.g., .16161.) 10.40% 11.80 % Average return Variance Standard deviation

  • Returns Year 1 12 % 25% 28 34 3 13 - 7 -27 4 5 10...

    Returns Year 1 12 % 25% 28 34 3 13 - 7 -27 4 5 10 14 Using the returns shown above, calculate the arithmetic average returns, the variances, and the standard deviations for X and Y. (Do not round intermediate calculations. Enter your average return and standard deviation as a percent rounded to 2 decimal places, e.g., 32.16, and round the variance to 5 decimal places, e.g., .16161.) х Y Average return Variance Standard deviation 11.80 % 10.40 %...

  • Over a particular period, an asset had an average return of 10.9 percent and a standard deviation of 21.2 percent. What...

    Over a particular period, an asset had an average return of 10.9 percent and a standard deviation of 21.2 percent. What range of returns would you expect to see 68 percent of the time for this asset? (A negative answer should be indicated by a minus sign. Input your answers from lowest to highest to receive credit for your answers. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) Expected...

  • Consider the following table for an eight-year period: Year T-bill return Inflation 1 7.44 % 8.56...

    Consider the following table for an eight-year period: Year T-bill return Inflation 1 7.44 % 8.56 % 2 8.79 12.19 3 6.02 6.79 4 5.82 5.01 5 5.60 6.55 6 8.39 8.87 7 10.71 13.14 8 12.85 12.37 Calculate the average return for Treasury bills and the average annual inflation rate (consumer price index) for this period. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) Average return for Treasury...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT