F1 X is uniform between -40 and 60. Find theaverage value at risk of X, AVaR(X) for anytolerance h between 0 and 1.

Given: To find the average value of the risk as,

Answered: lue at risk of X, AVAR(X between 0 and…

Business

Accounting

lue at risk of X, AVAR(X between 0 and 1.

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter5: Probability: An Introduction To Modeling Uncertainty

Section: Chapter Questions

Problem 25P: The random variable x is known to be uniformly distributed between 10 and 20. a. Show the graph of...

See similar textbooks

Related questions

Q: As of December 31, 2020, Grimmie Company's general ledger reported a total cash balance of P695,000.…

A: Answer:- Statement of financial position meaning:- Statement of financial position, accurately…

Q: Directions: Analyze the transactions of Kim as the owner of Chinita Services. Record the…

A: Answer: Answer to the question has been attached as images. Kindly refer to the image for your…

Q: "During 2020, Oldie Company, which uses the allowance method of accounting for doubtful accounts,…

A: Net cash flow from operating activities = Net Income - Bad debts expense + Decrease in accounts…

Q: 12. You want to borrow $44,965 from your local bank to buy a new sailboat. You can afford to make…

A: solution: Loan Amount (PV) 44965 Nos of monthly period (Nper) 48 Installment (PMT) 1140…

Q: Kate has put a lot of time and effort into streamlining the process to design and produce a greet-…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: lournal Entries for Accounts and Notes Receivable Lancaster, Inc., began business on January 1.…

Q: PLEASE ANSWER

A: Under periodic inventory system, the records are maintained and updated at the end of the period and…

Q: rding to AASB 132 Financial Instruments: Presentation, which of the following items would be…

A: As per AASB 132 – Financial Instruments: Presentation Financial liability is a contract that: gives…

Q: Mountain, Inc., purchased a new automobile on October 1 of the 2020 at a cost of $148,000. The…

A: Depreciation is an expense which is charged to a fixed asset of a firm. Depreciation is reported on…

Q: Variable cost per unit cost per unit (based on capacit afety Products Division of Wige ucts,…

A: Transfer pricing The price that one division of a firm charges another division for products and…

Q: E24 (LO 1) The following information relates to Royale Real Estate Agency. Oct. ! James Royale…

A: "Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: "If you purchase a car from a certain dealership, you expect to have four free oil changes per year…

A: The cost of each oil change is in the form of an annuity where the annuity amount is 26.49

Q: Answer please

A: Here we have to compare three alternative process to select the best process from…

Q: PROBLEM D Given the assumptions below concerning the Speedy Growth Company, construct the income…

A: Sales revenue: It is the revenue earned by a business on selling the goods or providing services to…

Q: Required: 1. Compute the company's net sales for the year. 2. Compute the company's total cost of…

A: The income statement is one of the financial statements that shows the financial performance of the…

Q: Using the data for Project S and Project T below, conduct an Incremental IRR Analysis and select the…

A: Internal rate of return refers to the minimum return to be earned by the investors over the amount…

Q: On May 1, Foxtrot Co. agreed to sell the assets of its Footwear Division to Albanese Inc. for $80…

A: Sale amount for assets= $80 million Book value of assets= $48 million Operating income in form of…

Q: Refer to the following data. Suppose a portfolio consisting of 40% in Security A and 60% in Security…

A: Here,Weight of A is 40%Weight of B is 60%SecurityBetaResidual…

Q: What is the minimum price that Dursley Ltd could charge the cosmetics business to justify the…

A: The relevant costs are the differential costs between making and buying of the product.

Q: Required: a. From the above income statement and balance sheet for Gerrard Construction Co. What…

A: Net income is the excess of revenues over expenses which means any thing left from the revenues…

Q: ($ thousands) Sales Cost of goods sold Gross profit Operating expenses Net income ($ thousands)…

A: Percentage has been calculated by using 2015 as base year.

Q: 2. Chan Lund, Inc., is considering building a sensitive new airport scanning device. His managers…

A: Expected Monetary Value (EMV) could be a statistical method in risk administration utilized to…

Q: Each of the items in the following list must be accounted for in bank reconciliation. Next to each…

Q: Required information [The following information applies to the questions displayed below.] Tyrell…

A: Interest due It represents the amount required to pay the interest cost of a loan for the payment…

Q: Accounts Debit Credit Cash 5,450 Accounts Receivable 16,200 Supplies Prepaid Insurance Equipment…

A: The adjustment entries are prepared to adjust the revenue and expenses for the current period.

Q: LCD Industries purchased a supply of electronic components from Entel Corporation on November 1,…

A: Purchase Price : $24 Million Period : 12 Months Monthly Interest Rate : 12% / 12 = 1% Annuity rate…

Q: PROBLEM NO. 4 Juan Dela Cruz, non-VAT registered lessor of residential and commercial units, had the…

A: Business Tax = Income* tax rate

Q: Consider a five-year MACRS asset purchased at $75,000. (Note that a five-year MACRS property class…

A: Depreciation: Depreciation is a method that allocates the cost of a tangible or physical asset over…

Q: 884 xercises + - E 15-1 Lease classification • LO15-1 Each of the four independent situations below…

A: Capital lease and operating lease Capital lease: A capital lease refers to the lease in which the…

Q: The total maintenance costs of Silver Company in the last four months are presented below: Month…

A: Variable Cost Per Unit = (Highest Activity Cost – Lowest Activity Cost) / (Highest Activity Units –…

Q: please answer

A: Inventory Categories cost data Net Realizable value data Inventory Value Camersa 15654 15784 15654…

Q: Information on Reng Company's overhead costs for January production activity is a follows: Budgeted…

A: The variance is the difference between the actual data and standard output of the production.

Q: Following is the November, 30, 2020 unadjusted trial balance of Zenith Delivery Company, Inc. The…

Q: O b. All the other answers are incorrect.

A: Insurance refers to the contract between the insurance company and the entity that receives…

Q: "Net cash flow from operating activities for 2020 for Jap Company was P300,000. The following items…

A: Net Income for 2020 = Net cash flow from operating activities - Depreciation and Amortization +…

Q: Journalize the entries to correct the following errors: a. A purchase of supplies for $500 on…

A: Journal entries recording is the first step of accounting cycle process, in which atleast one…

Q: If you earn a total of Php 1,000,000.00 annually, what is your expected monthly tax?

A: Answer; We have Gross Income = P 1,000,000 As per personal income tax (2018-2022), the tax schedule…

Question

X is uniform between -40 and 60. Find the
average value at risk of X, AVaR(X) for any
tolerance h between 0 and 1.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Consider the following utility function: u = 400 (1 + 1)−1. xy a. Is this utility function homogenous? Briefly explain. b. Use implicit differentiation to find the MRCS. c. Write down an expression for the indifference curve if u = 20.
The standard deviation of a standard normal distribution _____. a. can be any value b. is always equal to 1 c. is always equal to 0 d. can be any positive value
If expected level of EBIT is more than the breakeven point, then the EPS will be – a. Infinite b. Negative c. Positive d. Minimum
H1.
There is one period. Assume a representative agent with utility function U(ct) = αc_t − βc^2_tassume the following: α = 100, β = 1, and δ = 0.97. Consumption at t = 0 is C0 = 24. At t = 1 one of two states θ1 and θ2 eventuate with probability π1 = 0.5, and π2 = 0.5,respectively. There are two complex securities s^1 and s^2.s^1 has a payoff of 23 in θ1 and 27 in θ2.s^2 has a payoff of 20 in θ1 and 32 in θ2.What is the stochastic discount factor mt+1? hint: Recall mt+1 =δU′(ct+1)/U′(ct)
You are given the following possible returns for Security J. Given this information, determine the coefficient of variation for Security J State Probability G 1 30% 10% 25% 18% 14% 24% 27% 2 3 4 O 0.3907 O 0.3847 O 0.3721 O 0.4040 00.3597 31%
What does a PBR that is much higher than 1 mean?
Two sets of security X and Y have the following characteristics. Security X Probability Return Securty Y Probability Return 0.1 30% 0.5 -20% 0.2 20% 0.25 10% 0.4 10% 0.30 20% 0.2 05% 0.30 30% 0.1 -10% 0.10 40% Required. Calculate the expected return for each Security. Calculate the standard deviation for each security.
If i 2%, the value of X in the following CFD is nearest to: 10 10 10 10 20 20 20 20
If there is positive correlation between two sets of numbers, then _______. Group of answer choices r = 0 r < 0 r > 0 SSE=1 MSE = 1
The following table provides a probability distribution for the random variable y. a. Compute E(y). b. Compute Var(y) and .
Question:-