What is the correlation coefficient between the returns

Assignment Help Finance Basics
Reference no: EM13262041

The covariance of the returns between Willow Stock and Sky Diamond Stock is 0.0840. The variance of Willow is 0.1300, and the variance of Sky Diamond is 0.1190. What is the correlation coefficient between the returns of the two stocks?

Reference no: EM13262041

Questions Cloud

Find the rated phase currents of a delta-connected source : A delta-connected source has a line-to-line voltage rating of 470 Vrms. Its wye-connected load has a power rating of 2125 W with a pf of .85 lagging. Find the rated phase currents.
Compute the energy loss per second to the nearest watt : A wall is composed of two materials, material 1 has a thickness of 3.49 cm and a thermal conductivity of 0.1 J/msCo while material two has a thickness of 7.01 cm, what is the energy loss per second to the nearest watt
Explain formation of an acetal one mole of aldehyde requires : In the formation of an acetal one mole of aldehyde requires which of the following? a. one mole of alchol b. two moles of alcohol c. one mole of alcohol and one mole of water d. two moles of water
Calculate the vector of the electric field e at point p : A thin ,non conducting line of charge lies along the x axis. One end is at x=-1.00m and the other end is at x=+1.00m. The total charge on the line is 5.00 µC. calculate the vector (magnitude and direction) of the electric field E at point P due to ..
What is the correlation coefficient between the returns : The covariance of the returns between Willow Stock and Sky Diamond Stock is 0.0840. The variance of Willow is 0.1300, and the variance of Sky Diamond is 0.1190. What is the correlation coefficient between the returns of the two stocks?
Compute the maximum speed of the glider : An air-track glider attached to a spring oscillates between the 12.0cm mark and the 63.0cm mark on the track. What is the maximum speed of the glider
Calculate the value of fraziers stock : Frazier Manufacturing paid a dividend last year of $2, which is expected to grow at a constant rate of 5%. Frazier has a beta of 1.3. If the market is returning 11% and the risk-free rate is 4%, calculate the value of Frazier's stock.
What capacitor is required to correct the power factor : A 1500 hp phase ac motor load has a power factor of 0.7. What capacitor (in Farads) is required to correct the power factor to 0.90 if the line voltage is 2400 volts The capacitor bank is to be delta connected.
Find the total power delivered by the dc voltage source : The power is generated by a DC power facility at a voltage of 10 V and deliver by two power lines with resistance Rline=3 ohm. The maximum power the voltage source can deliver is 5 W. a) Find the total power delivered by this DC voltage source

Reviews

Write a Review

Finance Basics Questions & Answers

  Determine preferences of investors

A gentleman have Corporation X stock because its price has been steadily rising over the past few years and he expects its performance to continue.

  What is the break even point

Shock Electronics sells portable heaters for $35 per unit, and the variable cost to produce them is $22. Mr. Amps estimates that the fixed costs are $97,500. What is the break even point?

  How many shares will the firm repurchase

Management is considering issuing $120,000 of debt at an interest rate of 9 percent and using the proceeds on a stock repurchase. Ignore taxes. How many shares will the firm repurchase if it issues the debt securities?

  Calculate all of the ratios

Dan Ervin was recently employed by East Coast Yachts to assist the company with its short-term financial planning and also to evaluate the company?s financial performance.

  Explain the concept of limited liability

Explain the concept of "limited liability" in the context of a corporation. Is limited liability an advantage or disadvantage of the corporate form of business organization? Why?

  Determine the optimal order quantity

Barneycle's Boat Shop sells 3000 of its glow in the dark boats each year and has fixed order costs of 120 each order. Carrying cost per boat is $150 per year. Determine the optimal order quantity for these boats?

  Calculation of average collection period

Calculation of Average Collection Period and Return on Equity - Evaluate how Spectrum's financial performance compares to their Industry for each calculated ratio. It is sufficient to rate each ratio as "G"= good, "S" = satisfactory, or "P" = poor.

  Determine expected value

King, Corporation, a successful Midwest company, is planning opening a branch office on the west coast. Under normal economic conditions, with a 45% probability of occurring, King can expect to earn a net income of $50,000 per year.

  Determine the present value of an ordinary annuity

Determine the present value of an ordinary annuity with monthly payments of $274.14 for 48 months at 12 percent compounded monthly.

  Calculate the arithmetic annual rate of return

During the last five years you owned two stocks that had the following yearly rates of return, calculate the arithmetic annual rate of return for each stock.

  Calculate the present value of the annuity

A court settlement awarded an accident victim four payments of $50,000 to be paid at the end of each of the next four years. Using a discount rate of 4%, calculate the present value of the annuity.

  Explain decision making on the basis of the net present

Explain decision making On the basis of the net present value criterion and annual expenses of feeding and housing the baboon would be $4,000

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!

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