Tugas Chapter 8

Essential of Financial Management, 4rd Edition. Brighmam, E.F., dan Houston, J.F.
(2018).

Accounting and Finance, Kelompok 9

Mohammad Rizal 42P20018
Muhtar Rasyid 42P20019
Tugas Chapter 9 9.21

8.20

A. Average Return
Average return = Sum of retruns / No. of years = 11,30%
Year Stock A's Return Stock B's Return
2010 -18,00% -14,50%
2011 33,00% 21,80%
2012 15,00% 30,50%
2013 -0,50% -7,60%
2014 27,00% 26,30%
Average RR 11,30% 11,30%

B portofolio Return : 11,30%

Stock A's Stock B's

Year Stock A's Return Stock B's Return Komposisi Return Return Stock A+B return
2010 -18,00% -14,50% 50% -9,00% -7,25% -16,25%
2011 33,00% 21,80% 50% 16,50% 10,90% 27,40%
2012 15,00% 30,50% 50% 7,50% 15,25% 22,75%
2013 -0,50% -7,60% 50% -0,25% -3,80% -4,05%
2014 27,00% 26,30% 50% 13,50% 13,15% 26,65%
Average RR           11,30% 2
Tugas Chapter 9 9.21

C. Standard deviation of each stock

Stock A Stock B
Year Return Return-Avg (Return-Avg)^2 Return Return-Avg (Return-Avg)^2
2010 -18,00% -29,30% 8,58% -14,50% -25,80% 6,66%
2011 33,00% 21,70% 4,71% 21,80% 10,50% 1,10%
2012 15,00% 3,70% 0,14% 30,50% 19,20% 3,69%
2013 -0,50% -11,80% 1,39% -7,60% -18,90% 3,57%
2014 27,00% 15,70% 2,46% 26,30% 15,00% 2,25%
Total     17,29%     17,27%
Total/Year     3,46%     3,45%
Standar Deviasi     18,59%     18,58%

D. Coefficeint of variation
Co efficient of of variation = Standard deviation of stock / Average return

Keterangan Stock A Stock B

Standar Deviasi 18,59% 18,58%
Avg Return 11,30% 11,30%
Co Efficient of Variation 1,6455 1,6446

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Tugas Chapter 9 9.21

E. Comparison of Stock A, Stock B & portfolio

Stock A Stock B
(return-Avg A) - (return-
Year Return Return-Avg Return Return-Avg avgB)
2010 -18,00% -29,30% -14,50% -25,80% 7,56%
2011 33,00% 21,70% 21,80% 10,50% 2,28%
2012 15,00% 3,70% 30,50% 19,20% 0,71%
2013 -0,50% -11,80% -7,60% -18,90% 2,23%
2014 27,00% 15,70% 26,30% 15,00% 2,36%
Total 15,13%
Covariance (A,B) 0,030267
Coeff of Correlation "r" = Cov (A,B) / SD A* SD B) 0,875897989
Portfolio risk = SQRT{ ( WA*SD A)2 + ( WB*SD b)2 + (2 * WA * WB * Covariance (A,B) ) }

= Sqrt { ( 0.5 * 0.1859 )2 + ( 0.5 * 0.1858 )2 + ( 2 * 0.5 *0.5 * 0.0303 ) }
= 0.1800 /18%

E. Jika lebih aman maka risiko terendah ada pada Stock Portfolio.
Keterangan Return Risk

Stock A 11.30% 18.59%

Stock B 11.30% 18.58%

Portfolio 11.30% 18.00% 4