1. Suppose all stocks had a standard deviation of 30% and a correlation with each other of .4. What is the standard deviation of the returns on a portfolio that has equal holdings in 50 stocks?
2. From the perspective of the statute of limitations, why might a taxpayer file Form 1040X to claim a refund rather than file a Form 1045 to obtain the refund?
3. A small business owner has been approached by two separate investors who want to purchase his firm. Investor A has offered $15,000.00 per year for the next 6.00 years, while Investor B has offered $11,000.00 per year for 10.00 years. The business owner wants a 9.00% yearly return on his investment. What is the value today of Investor B's offer?