Calculate the investments through model, Basic Statistics

Assignment Help:

Anna is considering investing $150,000 by dividing it into three investments. But she is not sure how much to put in each one. The first investment is known to follow a uniform distribution with a rate of return that varies from -2% to 10%. The second investment follows a normal distribution with an average rate of return of 12% and a standard deviation of 6%. The third investment has a constant return of 6%.

(a)  Construct a computer model to simulate Anna's investments for a 20 year period. Assume that the balances are cumulative. Include as input parameters the amounts invested in each type of investment. Try your simulation model using $50,000 in each investment. The simulation should keep track of the combined balance.

(b)  Use data table to repeat the simulation designed in part (a) 300 times and record the results.

 


Related Discussions:- Calculate the investments through model

Science, #question how to make an electron dot diagram

#question how to make an electron dot diagram

Comb & proportions type will appear in f & f2, In fowl,the genotype rrpp gi...

In fowl,the genotype rrpp gives single comb, R_P_ walnut comb, rrP_ pea comb, and R_pp rose comb. a. What comb type will appear and in what proportions in F and F2 if single- co

Statistics in plural and singular form, how to deffine statistics in plura...

how to deffine statistics in plural and singilar form

Normal reaction, Normal Reaction: When two materials are in get in touch wi...

Normal Reaction: When two materials are in get in touch with, then the materials put out makes on each other. The makes are reverse to each other in route and are similar to each o

Calculate present value-hpr and future value , Semiannual coupon = 10%*$100...

Semiannual coupon = 10%*$100/2 = $5 Since it is one-year semiannual bond, it pays two coupons, one at six months from now and the other at maturity when the bank account will be

Solve spss problem, SOLVE THE FOLLOWING PROBLEM IN SPSS. A college is cond...

SOLVE THE FOLLOWING PROBLEM IN SPSS. A college is conducting a study of its students' expectations of employment upon graduation. Students are sampled by class and major area of s

Hedging , how to record a new hedging in your books

how to record a new hedging in your books

Test the hypothesis, Arnold Palmer and Tiger Woods are two of the best golf...

Arnold Palmer and Tiger Woods are two of the best golfers ever to play the game. To show how these two golfers would compare if both were playing at the top of their game, the foll

Group project in statistics, I) Introduction 1) Topic (s) 2) Survey Questi...

I) Introduction 1) Topic (s) 2) Survey Question 3) Type of Sampling 4) Why? II) Calculations 1) Data Analysis (Charts, sample mean, sample standard deviation) 2) Probability 3) E

Write Your Message!

Captcha
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