Please provide a concise response in Excel (with the formulas), to answer the following question.
QUESTION 1
Consider the following returns:
|
Year End
|
Asus Realized Return
|
Dell Realized Return
|
Oracle
Realized Return
|
|
2000
|
20.1%
|
-14.6%
|
0.2%
|
|
2001
|
72.7%
|
4.3%
|
-3.2%
|
|
2002
|
-25.7%
|
-58.1%
|
-27.0%
|
|
2003
|
56.9%
|
71.1%
|
27.9%
|
|
2004
|
6.7%
|
17.3%
|
-5.1%
|
|
2005
|
17.9%
|
0.9%
|
-11.3%
|
QUESTION: Calculate the variance on a portfolio that is made up of equal investments in Dell's and Oracle's stock.