Your investment has a 15% chance of earning a 35% rate of return, a 55% chance...

Your investment has a 15% chance of earning a 35% rate of return, a 55% chance of earning a 15% rate of return, and a 30% chance of losing 7%. Your expected return on this investment is %

Please enter your answer with TWO decimal points.

Expert Solution

jeff jeffy answered 2 years ago

Your investment has a 30% chance of earning a 10% rate of return, a 40% chance of earning a 23% rate of return and a 30% chance of earning -7%. What is the standard deviation on this investment?

Your investment has a 30% chance of earning a 10% rate of return, a 40% chance of earning a 23% rate of return and a 30% chance of earning -7%. What is the standard deviation on this investment? (Put your answers in decimal points instead of percentage)You calculated that the average return of your portfolio is 7% and the standard deviation is 17%, what is the value at risk (VaR) at 5% for your portfolio?

Your investment has a 20% chance of earning a 26% rate of return, a 50% chance...

Your investment has a 20% chance of earning a 26% rate of return, a 50% chance of earning a 15% rate of return and a 30% chance of losing 9%. What is your expected return on this investment? Enter answer in percents, accurate to two decimal places.

8. Your investment has a 20% chance of earning a 25% rate of return, a 50%...

8. Your investment has a 20% chance of earning a 25% rate of return, a 50% chance of earning a 12% rate of return and a 30% chance of losing 10%. What is your expected return on this investment? What is the standard deviation? What is the coefficient of variation?

Scenario Modeler’s prospective stock has a 15% chance of producing a 65% return, a 25% chance...

Scenario Modeler’s prospective stock has a 15% chance of producing a 65% return, a 25% chance of producing a 22% return, a 40% chance of producing a 7% return, and a 20% chance of producing a –24% return. What is the firm’s coefficient of variation of return? Enter your answer rounded to two decimal places. For example, if your answer is 12.345 then enter as 12.35 in the answer box.

1. A firm's stock has 50% chance of a 13% rate of return and a 50% chance...

1. A firm's stock has 50% chance of a 13% rate of return and a 50% chance of a 20% rate of return. What is the standard deviation of return for this stock? Answer as a percent return to the nearest hundredth of a percent as in xx.xx without entering a percent symbol. 2. A firm's stock has 50% chance of a 35% rate of return. a 30% chance of a 18% rate of return. and a 20% chance of a -24%...

An investment club has set a goal of earning 15% on the money they invest in...

An investment club has set a goal of earning 15% on the money they invest in stocks. The members are considering purchasing three possible stocks, with their cost per share (in dollars) and their projected growth per share (in dollars) summarized in the table. (Let x = computer shares, y = utility shares, and z = retail shares.) Stocks Computer (x) Utility (y) Retail (z) Cost/share 30 44 26 Growth/share 6.00 6.00 2.40 (a) If they have $392,000 to invest,...

A risk-free investment of $5000 will return 3%. A risky $5000 investment has a 23% chance...

A risk-free investment of $5000 will return 3%. A risky $5000 investment has a 23% chance of defaulting and returning only $3500. How much must the risky investment promise to return? 14.8% 13.0% 11.5% 12.9%

What is the WACC for a firm using 55% equity with a required return of 35%

What is the WACC for a firm using 55% equity with a required return of 35%, 15% debt with a required return of 8%, 10% preferred stock with a required return of 10%, and a tax rate of 35%?11.07%15.72%21.03%10.72%

MPI Incorporated has $4 billion in assets, and its tax rate is 35%. Its basic earning...

MPI Incorporated has $4 billion in assets, and its tax rate is 35%. Its basic earning power (BEP) ratio is 9%, and its return on assets (ROA) is 5%. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the question below. What is MPI's times-interest-earned (TIE) ratio? Round your answer to two decimal places.

MPI Incorporated has $3 billion in assets, and its tax rate is 35%. Its basic earning...

MPI Incorporated has $3 billion in assets, and its tax rate is 35%. Its basic earning power (BEP) ratio is 10%, and its return on assets (ROA) is 5%. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the question below. TIE ratio Total Assets $3,000,000,000.00 Tax Rate 35.00% Basic Earning Power (BEP) Ratio 10.00% Return on Assets (ROA) 5.00% Formulas EBIT #N/A Net Income #N/A Partial...

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