Solved

The Historical Returns for the Past Three Years for Stock

Question 16

Multiple Choice

The historical returns for the past three years for Stock B and the stock market portfolio are: Stock B: 24%,0%,24%; Market portfolio: 10%,12%,20%.Calculate the observed variance of the market portfolio returns.


A) 192.0
B) 128.0
C) 28.0
D) 18.7

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q7: Briefly explain the difference between company and

Q8: Risky projects can be evaluated by discounting

Q11: The historical returns for the past four

Q12: Which of the following types of projects

Q15: A firm's cost of equity can be

Q19: The historical returns for the past three

Q20: Generally,an industry beta,calculated from a portfolio of

Q21: The cost of capital is the same

Q67: Using a company's cost of capital to

Q69: Briefly explain how a firm's cost of