Explain the criteria for assessing performance of a security


Discussion Post: Financial Management

Answer each of the following questions in detail and provide in-text citations in support of your argument. Include examples whenever applicable. Make sure to provide examples for each of the questions below.

• Explain the criteria for assessing performance of a security, namely, expected rate of return, standard deviation of rate of return, and coefficient of variation (CV). Explain how by forming a portfolio an instrument can be generated that has properties better than each of its constituents in terms of the standard deviation of rate of return and CV.

• Consider the information you obtained in answering part 1 of the PA 2 in week 6 again . Suppose that the corporation is offered an investment which has the following cash flows. Please justify if the project is feasible based on WACC that you calculated in your PA 2.

Textbook: Ross, S. A., Westerfield, R. W., & Jordan, R. D. (2018). Fundamentals of corporate finance (12th ed.). McGraw-Hill. ISBN: 9781259918957.

The response must include a reference list. Using Times New Roman 12 pnt font, double-space, one-inch margins, and APA style of writing and citations.

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Financial Management: Explain the criteria for assessing performance of a security
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