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Returns on the stock of First Boston and Midas Metals for the years 2017-2020 are shown below.
a. Compute the average annual return for each stock and a portfolio consisting of 50% First Boston and 50% Midas.
b. Compute the standard deviation for each stock and the portfolio.
c. Are the stocks positively or negatively correlated and what is the effect on risk?
Left-hand Sides
Refers typically to the left side of equations or inequalities in mathematical expressions or models.
Excel Solver
A Microsoft Excel add-in program that performs linear, nonlinear, and evolutionary optimization, solving decision-making models.
Fabrication Department
A division within a manufacturing company responsible for constructing and assembling the components of a product.
Finishing Department
The final stage in a manufacturing process where products undergo final touches, quality checks, or packaging.
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