Question

Consider the following five monthly​ returns: 7​%, -2​%, 5​% 11​%, -3​% a. Calculate the arithmetic average...

Consider the following five monthly​ returns: 7​%, -2​%, 5​% 11​%, -3​%

a. Calculate the arithmetic average monthly return over this period and express your answer as a percentage per month.

b. Calculate the geometric average monthly return over this period.

c. Calculate the monthly variance over this period.

d. Calculate the monthly standard deviation over this period.

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Answer #1

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