aBbCcl 4. While shoppingin the Mexican market, you find that limes cost 11 pesos

Question

aBbCcl 4. While shoppingin the Mexican market, you find that limes cost 11 pesos each. You remember that back home, they cost 80 cents each. If the Purchasing Power exchange? Parity Theory holds, what is the rate of 5. Consider the following portfolio with equal amounts invested in three stocks A, B and C. Compute the standard deviation and expected return for all three stocks. State of Economy Probability Return on A (%) Return on B (%) Return on C (%) Recession Normal Boom 10 15 35 10 20 0 .25

Explanation / Answer

4.

exchange rate will be=11/0.80

=13.75 peso

so the exchange rate between dollar and peso will be 13.75 pesos.

the above is the answer

we do only one question based on Chegg rule.

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