ECON 424 Midterm: ECON 424 UW Midtermsummer00
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This is a closed book and closed note exam. However, you are allowed one page of handwritten notes. Answer all questions and write all answers in a blue book or on separate paper. Total points = 100: return calculations (20 pts. , consider the following monthly data for microsoft stock over the period december 1995 through december 1996: End of month price data for microsoft stock. 78. 87: using the data in the table, what is the simple monthly return between december, 1995 and. January 1996: using the data in the table, what is the continuously compounded monthly return between. Compare with your result in part (c): using the data in the table, compute the actual annual continuously compounded return between december 1995 and december 1996. Random variables (20 pts. : consider a portfolio of 3 risky stocks denoted by a, b and c (say apple, boeing and coca.
