# P1. from the information below, compute the average annual return,

P1. From the information below, compute the average annual return, the variance, standard deviation, and coefficient of variation for each asset.

Get a plagiarism free copy of this essay from our experts
P1. from the information below, compute the average annual return,
For as low as \$13/Page
 Asset Annual Returns A 5%,10%,15%,4% B -6%,20%,2%,-5%,10% C 12%,15%,17% D 10%,-10%,20%,-15%,8%,-7%

 Asset A Asset B Asset C Asset D 5% -6% 12% 10% 10% 20% 15% -10% 15% 2% 17% 20% 4% -5% -15% 10% 8% -7% Average 9% 4% 15% 1% Variance 0.0026 0.0119 0.0006 0.0186 Std. dev 5.07% 10.92% 2.52% 13.65% Coeff of var. 0.60 2.60 0.17 13.65

P2. Based upon your answers to question 1, which asset appears riskiest based on standard deviation? Based on coefficient of variation?

ASSET D appears the riskiest based in standard & coefficient.

P3. Recalling the definitions of risk premiums in Chapter 8 and using the Treasury bill return in Table 12.4 as an approximation to the nominal risk-free rate, what is the risk premium from investing in each of the other asset classes listed in Table 12.4?

P4. What is the real, or after-inflation, return from each of the asset classes listed in table 12.4?

 Treasury Bill Treasury Bond Stocks Inflation  Rate Annual Ave Return 3.8% 5.4% 11.1% 3.2% Standard Deviation 3.0% 7.6% 20.4% 4.0%

## Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
\$26
The price is based on these factors:
Number of pages
Urgency
Basic features
• Free title page and bibliography
• Unlimited revisions
• Plagiarism-free guarantee
• Money-back guarantee
On-demand options
• Writer’s samples
• Part-by-part delivery
• Overnight delivery
• Copies of used sources
Paper format
• 275 words per page
• 12 pt Arial/Times New Roman
• Double line spacing
• Any citation style (APA, MLA, Chicago/Turabian, Harvard)

# Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

### Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

### Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

### Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.