You believe the expected return on ABC is 16.20%, and that the variance of ABC's returns is 0.6400. What is the coefficient of variation for this company? Express the answer with 3 decimal places.
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- Given the following information, calculate the expected value for Firm C's EPS. Data for Firms A and B are as follows: E(EPSA) = $5.10, and σA = $3.63; E(EPSB) = $4.20, and σB = $2.94. Do not round intermediate calculations. Round your answer to the nearest cent. Probability 0.1 0.2 0.4 0.2 0.1 Firm A: EPSA ($1.61) $1.80 $5.10 $8.40 $11.81 Firm B: EPSB (1.20) 1.30 4.20 7.10 9.60 Firm C: EPSC (2.59) 1.35 5.10 8.85 12.79 E(EPSC): $ You are given that σc = $4.12. Discuss the relative riskiness of the three firms' earnings using their respective coefficients of variation. Do not round intermediate calculations. Round your answers to two decimal places. CV A B C The most risky firm is .You have the following information: t1 t2 t3 t4 Walmart Returns 0.06 0.03 -0.01 -0.04 Market Returns -0.04 -0.01 0.08 -0.06 What is the Variance of the Market? Type your answer as decimal (i.e. 0.052 and not 5.2%). Round your answer to the nearest four decimals if needed.A linear regression of the return on NVIDIA on the return of S&P 500 gives you thefollowing result:RNVIDIA = 0.03 + 1.45*RS&P500 + errorNVIDIA.Suppose that the standard deviation of the S&P 500 return is 0.20 and the standarddeviation of the error term (errorNVIDIA) is 0.10.What fraction of the total variance of NVIDIA is systematic?
- Expected Return, Variance, Std. Deviation and Cofficient of Variation:Magee Inc.'s manager believes that economic conditions during the next year will be strong, normal, or weak, and she thinks that the firm's returns will have the probability distribution shown below. What's the standard deviation of the estimated returns?Round your answer to two decimal places. For example, if your answer is $345.6671 round as 345.67 and if your answer is .05718 or 5.7182% round as 5.72. State of the Economy Probability of State Occurring Stock's Expected Return Boom 30% 22.95% Normal 50% 12.90% Recession 20% –8.60%Expected Return, Variance, Std. Deviation and Cofficient of Variation:Magee Inc.'s manager believes that economic conditions during the next year will be strong, normal, or weak, and she thinks that the firm's returns will have the probability distribution shown below. What's the standard deviation of the estimated returns?Round your answer to two decimal places. For example, if your answer is $345.6671 round as 345.67 and if your answer is .05718 or 5.7182% round as 5.72. State of the Economy Probability of State Occurring Stock's Expected Return Boom 30% 21.60% Normal 55% 13.50% Recession 15% –11.35% A. 11.04% B. 12.10% C. 9.47% D. 10.52% E. 9.99%Expected Return, Variance, Std. Deviation and Cofficient of Variation:Magee Inc.'s manager believes that economic conditions during the next year will be strong, normal, or weak, and she thinks that the firm's returns will have the probability distribution shown below. What's the standard deviation of the estimated returns?Round your answer to two decimal places. For example, if your answer is $345.6671 round as 345.67 and if your answer is .05718 or 5.7182% round as 5.72. State of the Economy Probability of State Occurring Stock's Expected Return Boom 20% 24.15% Normal 50% 13.50% Recession 30% –13.30% Group of answer choices 15.68% 16.39% 14.26% 13.54% 10.69%
- Suppose that the returns on an investment are normally distributed with an expected return of 16% and standard deviation of 3%. What is the likelihood of receiving a return that is equal to or less than 19%? (Hint: the area under a curve for 1 std dev is 34.13%, 2 std dev is 47.73% and 3 std dev is 49.87%.).provide step by step explaination (no excel)Emmons Corporation has a 0.0 probability of a return of 0.49, a 0.4 probability of a rate of return of 0.07, and the remaining probability of a 0.0 rate of return. What is the variance in the expected rate of return of Emmons Corporation?
- Suppose an investment is equally likely to have a 30% return or a -5% return. The variance on the return for this investment is closest to 0.175 0.2 0.03 0The standard deviation of return on investment a is 0.10, while the standard deviation of return on investment b is 0.04. If the correlation coefficient between the returns on A and B is_____________. A. -0.0447 B. -0.0020 C. 0.0020 D. 0.0447A firm is considering an investment that has an expected return of 25% and a standard deviation of 43%. What is the investment's coefficient of variation? Do not round your intermediate calculations. Round the final answer to 2 decimal places.