Assignment-1 Finance 550, Fall 2010

Apr 30th, 2015
Studypool Tutor
Strayer University
Course: business and management
Price: $10 USD

Tutor description

1. a. A.M. stock A = 0.09 + 0.05 + (-0.06) + 0.04 + 0.06 / 5 = 0.036 = 3.6% A.M. stock B = 0.2 + 0.1 + (-0.13) + (-0.04) + 0.16 / 5 = 0.058 = 5.8% According to the arithmetic mean, a higher return on Stock B seems to me most desirable, so these results lead us to prefer Stock B. b. Standard Deviation stock A = 0.056833089 = 5.68% Standard Deviation stock B = 0,138996403 = 13.90% Standard Deviation shows that Stock A would be preferred instead of Stock B. c. Coefficient of Variation stock A = 1,578696915 Coefficient of Variation stock B = 2,396489704 In these results we can say that Stock B should be chosen. d. G.M. stock A = 0.034 = 3.4% G.M. stock B = 0.05 = 5% The geometric mean to direct us to prefer Stock B

Word Count: 695
Showing Page: 1/6
Solving the QuestionsBasic Measures, Policy Statement, andSecurities Market Strayer UniversityDr. Bliss : Finance 550, Fall 2010Mehmet F. Celik70157910911. a. A.M. stock A = 0.09 + 0.05 + (-0.06) + 0.04 + 0.06 / 5 = 0.036 = 3.6%A.M. stock B = 0.2 + 0.1 + (-0.13) + (-0.04) + 0.16 / 5 = 0.058 = 5.8% According to the arithmetic mean, a higher return on Stock B seems to me most desirable, so these results lead us to prefer Stock B. b. Standard Deviation stock A = 0.056833089 = 5.68%Standard Deviation stock B = 0,138996403 = 13.90%Standard Deviation shows that Stock A would be preferred instead of Stock B.c. Coefficient of Variation stock A = 1,578696915 Coefficient of Variation stock B = 2,396489704In these results we can say that Stock B should be chosen.d.G.M. stock A = 0.034 = 3.4%G.M. stock B = 0.05 = 5%The geometric mean to direct us to prefer Stock B2.ObjectiveMr. Lewis 60 years old and in the near time he lost his wife since she had a disease that killed her. But, he believes that a cure can be found for that disease, therefore he has decided that a medical research foundation will receive half the proceeds now and will be the primary beneficiary of his estate upon his death. He has no children and is in excellent health, he is regular person, and however, he keeps dynamic lifestyle. ConstraintsLiquidity needs: I always defend one thesis tha

Review from student

Studypool Student
" awesome work thanks "
Ask your homework questions. Receive quality answers!

Type your question here (or upload an image)

1827 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