User Account

All Pages

Calculate expected value of losses and standard deviation

Assignment Help Finance Basics
Reference no: EM131405537

Assignment

As the risk management of a small chain of restaurants, you are analyzing the losses incurred over the last 10 years. Using these data, calculate the:

Years           Losses
Years 1-2       1200
Year 3            1000
Years 4-6       800
Year 7-8         500
Years 9-10      100

a) Expected value of losses
b) Variance
c) Standard Deviation
d) Coefficient of Variation
e) In what (approximate) range should losses fall 95 percent of the time?

Reference no: EM131405537

Questions Cloud

Provide a brief history of the us supreme courts philosophy : Garnering all of the information about constitutional rights and the justice process you have received from this course and your understanding of the "personalities" of the U.S. Supreme Court, prepare a six to eight page paper (not including the A..
Decisions made by individual firms and households : The demand for money is determined by decisions made by individual firms and households, based on the variables described earlier in this discussion; it is not controlled by the Federal Reserve. How does this fact make it impossible for the Fed to..
Social security system : What plan does the Trump administration have to save the Social Security System?
What conclusion you reach with regard to bank managers claim : From given sample results, and using the 0.05 level of significance, what conclusion would the student reach with regard to the bank manager's claim?
Calculate expected value of losses and standard deviation : As the risk management of a small chain of restaurants, you are analyzing the losses incurred over the last 10 years. Using these data, calculate the Expected value of losses, Variance, Standard Deviation and Coefficient of Variation.
Market converges to marginal cost as n increases : (a) This was also illustrated in class and in the lecture notes. Where {a; b; cg} > 0, p(Q) = a-bQ, and TC(q) = cq, show that the equilibrium quantity chosen by a Cournot competitor in an n-firm oligopoly is equal to qi =(a-c)/(n + 1)b (b) Show th..
Profit-maximizing monopolist with costs : (a) Consider a profit-maximizing monopolist with costs of C(q) = cq and an inverse demand of p(Q) = a-bQ, where {a; b; c} > 0. What is the rm's objective equation as a function of q?
What is the function of this slope : Assume that Y is on the vertical axis and X is on the horizontal axis. What is the function of this slope
What reasons might correctional institutions have to map : The problem of additional health-related diseases will arise in the prison system. There will be more HIV, more tuberculosis, and other communicable diseases. Pick a position on the question of mapping inmates for genetic predisposition to a spe..

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the historical covariance of the europe

FINA 4321 Portfolio Management and Performance Evaluation Assignment. Using the COVAR.S command in Excel, what is the historical covariance of the Europe and China ETFs

  What is the operating cycle-the cash cycle

What is the operating cycle, the cash cycle?  Which one is more important for a CFO to focus on, and why?

  To find the dividend per share for microsoft and coca-cola

Which pays the highest dividend? Which does not pay a dividend? Why might a firm not pay a dividend? Why would investors buy the stock of a firm that does not pay a dividend?

  Find accounting break even point

We are estimating a project that costs $750,000, has an 8 year life, and has no salvage value. Suppose that depreciation is straight-line to zero over the life of the project.

  Enforceability of the promise

On June 1, 2014, Newman, owner of H & H Bagels, met with Abe Farkas in his office to discuss the possibility of Farkas working at H &H. Newman told Farkas that if Farkas accepted a job offer, Newman would guarantee him three years of employment so..

  What are advantages of practices that allow shareholders

What are the advantages and disadvantages of practices that allow shareholders to take more active roles in direct ?rm governance?

  Probability that patient who tested positive

A) What is the probability that a patient who tested positive on this test actually has the disease, if it estimated that 20% of the population has the disease? B) What is the probability that patient who tested positive on this test actually has..

  Effect of the bond new price

You are holding a 30-year, 3 percent annual coupon, $1,000 bond that sells at 2% discount. (a) What will be effect of the bond's new price if market yields fall by 0.05%? What will be the bond's price if the market yields fall by 2%?

  Calculate the net present value,

Calculate the net present value, internal rate of return, and simple payback. Next, determine the effect that each of the three (3) values will have on the company.

  A three-year credit-linked note cln with underlying company

a three-year credit-linked note cln with underlying company z has a libor 60bps semi-annual coupon. the face value of

  Four types of relational collaborative arrangements

What is a shippers responsibility when terms of purchase are F.O.B. origin? F.O.B. destination? Why would a shipper prefer one over the other?

  Difference between the expected return on a market portfolio

difference between the expected return on a market portfolio and the risk-free rate

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd