Virginia Tech FIN FIN MISC current value of a portfolio is $23 million. Scenario analysis produces an expected return of 30.7%, a standard deviation of 36.7%, and an empirical…
produces an expected return of 30.7%, a standard deviation of 36.7%, and an empirical value at risk (VaR) at the 5% level of -56.5%. A value that is 1.64485 standard deviations below the mean in a normal distribution corresponds to a VaR of 5%. Which of the following statements accurately characterizes the portfolio:
a.The VaR under the normal distribution is -29.67% and the distribution does not appear to be normal.
b. The VaR under the normal distribution is -25.1% and the distribution appears to be normal.
c. The VaR under the normal distribution is -19.8% and the distribution does not appear to be normal.
d. The VaR under the normal distribution is -29.67% and the distribution appears to be normal.
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.
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.Read more
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.Read more
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.Read more
Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.Read more
By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.Read more