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PREASSIGNMENT REQUIREMENT

The text, Modern Investment Theory, is accompanied by computer software designed to run on most PCs. Programs contained in the software will be utilized throughout the semester. The purpose of this "PreAssignment" is simply to ensure that all students are able to load the programs.

1. You need one blank disk (3 1/2" HD 1.44 meg disk). You can also download the computer files into a directory

that you have created on your own hard drive.

2. Go to my web site (

a) Click on "MGMT 136"

b) Click on "Computer Files"

c) Follow the instructions, and download each of the nine files onto your

floppy disk, or onto your own hard drive.

3. The nine files to be copied are:

INV1.EXE, INV2.EXE, INV3.EXE, INV4.EXE, INV5.EXE,

INVEST.BAT, README.TXT, EG1.WK1, DTABASE2.DTA

Note: You can load these files onto your hard drive if you have one; or you can run the programs directly off of your floppy disk.

4. Using the Haugen software:

Using Windows Explorer go to the directory that contains the nine files and

double click on the INVEST file (the batch file).

After a short waiting period, a screen display (MODERN INVESTMENT THEORY) will appear. At this point:

Press: <ENTER>

A copyright statement will appear on the screen. After reading:

Press: <ENTER>

A list of programs will now appear on the screen (see attached). Each student is required to hand in a hard copy of this "5 Program Menu," with his/her name on it. (Simply write your name on the hard copy obtained.)

To obtain the hard copy:

a) Click on the upper left hand corner of the screen.

b) Go to Edit and click on Mark.

c) Place the cursor at the starting point of the area to be printed.

d) Hold the left mouse button down and drag over the area to be printed.

e) Click on the upper left hand corner of the screen, go to Edit, and click on Copy.

f) Open the Notepad or your word processor, and click on paste.

g) You can now print the selection while in Notepad or your word processor.

Note: This procedure can be used for obtaining hard copy throughout the semester.

5. Once the "5 Program Menu" is on the screen, running the Haugen programs is as easy as "reading instructions." Try it out! For example:

Type: 1

The computer will load Markowitz's Mean-Variance Model program, and provide written instructions.

6. Additional Information:

a) Graphics The software has "some" graphics capabilities. Throughout the semester, you will be required at times to graph some data. Feel free to use any graphics package (e.g., PowerPoint) at your disposal. If you do not have access to any graphics package, simply construct your graphs by hand on graph paper.

b) LOTUS 123 Haugen's software was constructed to allow for interaction with LOTUS 123. For purposes of MGMT 136, we will not be using this feature of the software. However, if you are interested in this aspect (i.e., importing and exporting data to and from LOTUS 1-2-3), read the file, README.TXT, which is contained in the Haugen software.

c) Cursor Movement On occasion, not all of the results will appear on one screen. For example, programs 1 and 2 have as part of the output, 10 portfolios. Only 6 portfolios, however, will fit on the screen at any one

time. To view the other 4 portfolios, use the arrow keys to move the cursor to the right. In general, whenever the output is too large to fit on one screen display, simply use the arrow keys to view the other segments of the output.

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Error! Main Document Only.