You have the following information: t1 t2 t3 t4 TSLA Returns 0.05 -0.04 0.1 -0.01 Market Returns 0 -0.04 0.01 0.01 What is the Covariance of TSLA and 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.
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- Calculate the covariance of the following ex-ante returns. Express your answer as a decimal with four digits after the decimal point (e.g., 0.1234 or -0.1234, not 12.34% or -12.34%). s ps rA,s rB,s A 0.03 0.08 0.045 B 0.18 0.19 0.045 C 0.29 0.36 0.045 D 0.29 0.18 0.045 E 0.18 0.07 0.045 F 0.03 -0.55 0.045Please fill out the parts in the above table that are shaded in yellow. You will notice that there are nine line items Please answer : Covariance with MP Correlation with Market Index Beta CAPM Req. ReturnEconomics Compute (F/A,%13,20) using the closed-form formula and call that X Also approximate it; by applying linear interpolation between the values obtained from "compound interest factors" table for (F/A,%12,20) and (F/A,%15,20) and call that y. What is X- y? Choose the closest value to your answer. A 0 (B) 11.3664 c) -11.3664 D 1.2358 E) -1.2358
- Can you explain, when calculating the mean why the probability is included in the calculation? eg when you're using excel: (0.2*7) + (0.1*7) + (0.3*7) + (0.3*7) + (0.1*7) = 7%Compute the covariance between Golddayand the market. State your answer indecimal form, working your analysis usingat least four decimal places of accuracy.Use the following returns for X and Y. Returns Year X Y 1. 21.8% 26.4% 2. -16.8 -3.8 3. 9.8 28.4 4. 19.8 -14.6 5. 4.8. 32.4 a. Calculate the average returns for X and Y. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) b. Calculate the variances for X and Y. (Do not round intermediate calculations and round your answers to 6 decimal places, e.g., 32.161616.) c. Calculate the standard deviations for X and Y. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)
- In creating the T2 measure one mixes P* and T-bills to match the _____ of the market and in creating the M2 measure one mixes P* and T-bills to match the _____ of the market. Group of answer choices beta, alpha alpha, beta standard deviation, beta beta, standard deviationConsider the following information: Calculate the expected return. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Expected returnThe Beta coefficients of TSLA and JPM are 1.99 and 1.18 respectively. What does Beta measure and how is it interpreted? Explain the beta values of TSLA and JPM by providing a calculated example of how they relate to market returns.
- An ideal value-relevant attribute is one for which the correlation coefficient of the values of the attribute and the stock prices is Group of answer choices a. +2.0 b. zero c. +1.0 d. -1.0Future values. Fill in the future values for the following table, E, using one of the three methods below a. Use the future value formula, FV= PVx(1+r)". b. Use the TVM keys from a calculator. c. Use the TVM function in a spreadsheet. Present ValuO Inforest Rate Number o Poriods $ 256.00 4% 4. S(Round to the nearest cent.Given the forward rate f3,6 = 6% and the forward rate ƒ6,8 = 2%, calculate the forward rate ƒ3,8. Give your answer as a percentage to 3 significant figures. Do not enter the percentage sign. For example, if your answer is 1.23%, then enter 1.23 Answer: