A Stock Has a Price of $42

question 16

Multiple Choice

A stock has a price of $42.63 and pays no dividend.The historical standard deviation of the stock is 18% and the expected return on the stock is 11%.At the 95% confidence level,what is the Tail VaR over the next 270 days?

• A) $2.13
• B) $6.56
• C) $9.71
• D) $40.50

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Definitions:

Sales Career

A professional occupation in the field of sales, where individuals focus on selling products and services, developing client relationships, and achieving sales targets.

Respect, Trust, Friendship

Essential elements in building strong personal and professional relationships, involving admiration, reliability, and a bond of companionship.

Cultivating Network

The process of actively engaging and expanding one's social and professional contacts for mutual benefit.

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