answer finance questions

May 5th, 2015
Business Finance
Price: $5 USD

Question description

Answer the following questions.

 1.What is the arithmetic average of 12%, 14%, -20% (that’s negative 20) and 10%?  What is the geometric average? 

2. The S&P 500 Index had the following annual returns:

2010: 12.78   2011: 0.00   2012: 13.41   2013: 29.6   2014: 11.39

Using just these last 5 years of data, what is the expected return for the Dow Jones?  B. What is the standard deviation of the returns? (Please explain each step of the formula)

3. You are considering investing in 8 companies by purchasing their stock today. Answer the following:


If markets are strong form efficient, would the expected return on your friend’s investment be greater than the overall stock market return? 


What is a difference between the strong form of the efficient market hypothesis and the weak form?

Tutor Answer

(Top Tutor) RylanWirkkala
School: UC Berkeley

Studypool has helped 1,244,100 students

Review from student
" Goes above and beyond expectations ! "
Ask your homework questions. Receive quality answers!

Type your question here (or upload an image)

1831 tutors are online

Brown University

1271 Tutors

California Institute of Technology

2131 Tutors

Carnegie Mellon University

982 Tutors

Columbia University

1256 Tutors

Dartmouth University

2113 Tutors

Emory University

2279 Tutors

Harvard University

599 Tutors

Massachusetts Institute of Technology

2319 Tutors

New York University

1645 Tutors

Notre Dam University

1911 Tutors

Oklahoma University

2122 Tutors

Pennsylvania State University

932 Tutors

Princeton University

1211 Tutors

Stanford University

983 Tutors

University of California

1282 Tutors

Oxford University

123 Tutors

Yale University

2325 Tutors