In order to alleviate the effects of bias in employment testing, employers might want to use ________ because they typically do
1 answer:
You might be interested in
Answer:
<h3>In case of b, c, d ,e volatility is less than that of original stock</h3>Explanation:
The formula to compute the volatility of a portfolio
Here,
The standard deviation of the first stock is σ₁
The standard deviation of the second stock is σ₂
The weight of the first stock W₁
The weight of the second stock W₂
The correlation between the stock c
a) If the correlation between the stock is +1
Hence, the volatility of the portfolio is 0.33 0r 33%
b) If the correlation between the stock is 0.50
Hence, the volatility of the portfolio is 0.29 0r 29%
c) If the correlation between the stock is 0.00
Hence, the volatility of the portfolio is 0.23 0r 23%
d) If the correlation between the stock is -0.50
Hence, the volatility of the portfolio is 0.17 or 17%
e) If the correlation between the stock is -1
Hence, the volatility of the portfolio is 0
<h3>In case of b, c, d ,e volatility is less than that of original stock</h3>Answer:
$1,099,203.00
Explanation:
In this question we have to find out the future value that is shown in the attachment below:
Provided that
Present value = $0
Rate of interest = 8% ÷ 2 = 4%
NPER = 25 years × 2 = 50 years
PMT = $1,200 × 6 months = $7,200
The formula is shown below:
= -FV(Rate;NPER;PMT;PV;type)
So, after solving this, the future value is $1,099,203.00
