Answer and Explanation:
The computation is shown below:
1. VaR = Expected return - z × Standard deviation
= 13% - 1.645 × 20%
= -19.90%
Therefore the option a is the correct answer.
2) Now the correlation coefficient is
Variance of the portfolio = (weight of A × Standard deviation 1)^2 + (weight of B × Standard deviation 2)^2 + (2 × weight of A × weight of B × Standard deviation 1 × Standard deviation 2 × correlation 1 and 2)
3.80% = (60% × 24%)^2 + (40% × 18%)^2 + (2 × 60% × 40% × 24% × 18% × correlation 1 and 2)
So the correlation is 0.583
Answer:
A) we requiere to fulfill the Vitamint contrains or surpass them A => 12 C=>6
B) we request that instead of fullfilling the vitaming requirement to be 12/6 or more
to be exactly for this amount.
Explanation:
We set up the situation in excel Solver with the following constraing:
1 2 3 4
A 3 3 1 7
B 3 1 1 1
C 12 6 24
C2 = A1*A2 + B1*B2
C3 = A1*A3 + B1*B3
C4 = A1*A4 + B1*B4
common constraing:
C4 min
A1 = integer
B1 = integer
A) constraing
C2 => 12
C3 =>6
B) contraing to achieve the exact value for each vitamin:
C2 = 12
C3 = 6
Answer:
Is often gathered BEFORE primary data
Explanation:
:)
