Year GoopGip Stock LoopLip Stock S&P 500 2007 -12.8% 4.85%

Year

GoopGip Stock

LoopLip Stock

S&P 500

2007

-12.8%

4.85%

-1.87%

2008

-4.5%

-8.25%

2.39%

2009

5.9%

3.33%

0.45%

2010

1.9%

7.21%

3.56%

2011

-4.8%

-1.55%

-1.38%

The Z-statistic at the 90% confidence level is 1.2816

The Z-statistic at the 95% confidence level is 1.6449

The Z-statistic at the 99% confidence level is 2.3263

1. What are the mean and standard deviation for S&P
500?

2. What is the maximum expected loss for GoopGip stock at the 99% confidence level using
standard deviation?

3. What is the maximum expected loss for S&P at the 95% confidence level using standard
deviation?