document.write( "Question 663558: The following table describes the asset allocation of your portfolio with the corresponding return in percentage, X, and the proportion of that specific asset in the portfolio, P(X).\r
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document.write( "Money Market: X=10% , P(X)=.10
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document.write( "Short Term Securities: X=15% , P(X)=.10
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document.write( "Long Term Debt: X=25% , P(X)=.20
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document.write( "Large Cap Equity: X=25% , P(X)=.35
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document.write( "Small Cap Equity: X=15% , P(X)=.15
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document.write( "International Equity: X=10% , P(X)=.10\r
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document.write( "Calculate the E(X) for this portfolio.\r
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document.write( "Calculate the E{ [X-E(X)] 2} for this portfolio.\r
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document.write( "<< This is just one sample problem for my homework. I cannot seem to understand the process to answering these questions. Please show all formulas and calculations so that I can learn from this >> \n" );
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Algebra.Com's Answer #412841 by stanbon(75887) ![]() You can put this solution on YOUR website! Money Market: X=10% , P(X)=.10 \n" ); document.write( "Short Term Securities: X=15% , P(X)=.10 \n" ); document.write( "Long Term Debt: X=25% , P(X)=.20 \n" ); document.write( "Large Cap Equity: X=25% , P(X)=.35 \n" ); document.write( "Small Cap Equity: X=15% , P(X)=.15 \n" ); document.write( "International Equity: X=10% , P(X)=.10 \n" ); document.write( "Calculate the E(X) for this portfolio. \n" ); document.write( "Procedure: Multiply each x value by its P(x) value \n" ); document.write( "then add those products to get E(x) \n" ); document.write( "------------------------------------------ \n" ); document.write( "Calculate the E{ [X-E(X)] 2} for this portfolio. \n" ); document.write( "Multiply each (x-E(x))^2 by its P(x) \n" ); document.write( "then add those products to get E[x-E(x))^2] \n" ); document.write( "-------------------- \n" ); document.write( "cheers, \n" ); document.write( "Stan H. \n" ); document.write( "============= \n" ); document.write( " |