Question

question 6 You have the following historical annual total returns on Terlingua Oil & Gas Exploration:

Year | Annual total return (%) |

2001 | 3% |

2002 | -4% |

2003 | 12% |

2004 | 15% |

2005 | -2% |

2006 | 3% |

2007 | 17% |

2008 | 0% |

2009 | -1% |

2010 | 5% |

Calculate the sample standard deviation of annual return.

Do not round at intermediate steps in your calculation. Express your answer in percent. Round to two decimal places. Do not type the % symbol.

Answer #1

Average Return = Sum of returns / Number of periods

=(3%-4%+12%+15%-2%+3%+17%+0%-1%+5%) / 10

= 4.80%

standard deviation = [Sum of Deviation Squared / (Number of Periods -1)]^(1/2)

=[ 491.60/(10-1)]^(1/2)

= 54.62%^(1/2)

Answer = **7.39%**

Note:

Probable Return | Deviation ( Probable Return- Expected Return) | Deviation Squared |

3 | -1.800 | 3.24 |

-4 | -8.800 | 77.44 |

12 | 7.200 | 51.84 |

15 | 10.200 | 104.04 |

-2 | -6.800 | 46.24 |

3 | -1.800 | 3.24 |

17 | 12.200 | 148.84 |

0 | -4.800 | 23.04 |

-1 | -5.800 | 33.64 |

5 | 0.200 | 0.04 |

Deviation Squared Total | 491.60 |

You have the following historical annual total returns on
Terlingua Oil & Gas Exploration:
Year
Annual total return (%)
2001
0%
2002
6%
2003
13%
2004
9%
2005
2%
2006
4%
2007
-1%
2008
-6%
2009
0%
2010
4%
Calculate the sample standard deviation of annual return.
Do not round at intermediate steps in your calculation. Express
your answer in percent. Round to two decimal places. Do not type
the % symbol.

You have the following historical annual total returns on
Terlingua Oil & Gas Exploration:
Year
Annual total return (%)
2001
0%
2002
-10%
2003
19%
2004
12%
2005
13%
2006
9%
2007
-4%
2008
5%
2009
2%
2010
4%
Calculate the sample standard deviation of annual return.

The following data is provided for a market 500 Index: Year
Total return Year Total return 2000 16.0% 2010 2.0% 2001 8.0% 2011
3.0% 2002 -3.0% 2012 3.0% 2003 1.0% 2013 4.0% 2004 5.0% 2014 5.0%
2005 21.0% 2015 4.0% 2006 43.0% 2016 3.0% 2007 4.9% 2017 3.5% 2008
-7.0% 2018 4.5% 2009 0.1% 2019 5.8% Calculate the last 10 -year
arithmetic average annual rate of return on the market Index.
3.78%
2.69%
0.37%
3.93%

The following data is provided for a market 500 Index: Year
Total return Year Total return 2000 16.0% 2010 2.0% 2001 8.0% 2011
3.0% 2002 -3.0% 2012 3.0% 2003 1.0% 2013 4.0% 2004 5.0% 2014 5.0%
2005 21.0% 2015 4.0% 2006 43.0% 2016 3.0% 2007 4.9% 2017 3.5% 2008
-7.0% 2018 4.5% 2009 0.1% 2019 5.8% Calculate the 20 -year
geometric average annual rate of return on the market Index.
5.91%
3.32%
3.77%
0.28%

The following information was taken from Johnson & Johnson
annual reports. The principal office of Johnson & Johnson is in
New Brunswick, New Jersey. Its common stock is listed on the New
York Stock Exchange, using the symbol JNJ.
Domestic
International
Sales
Sales
Employees
Year
($ million)
($ million)
(thousands)
2000
18,216
11,856
100.9
2001
19,825
12,492
101.8
2002
22,855
13,843
108.3
2003
25,874
16,588
110.6
2004
27,970
19,578
109.9
2005
28,677
22,137
115.6
2006
31,375
23,549
122.2
2007
35,444...

Suppose you are given the following annual return data for
Gamestop and the market index from 2002 to 2015. Calculate the
Gamestop's beta. (Round to 3 decimals) Year RetGME RetDIA 2003
0.453 0.246 2004 0.372 0.049 2005 0.353 0.016 2006 0.549 0.173 2007
0.813 0.084 2008 -1.053 -0.388 2009 0.013 0.205 2010 0.042 0.131
2011 0.053 0.078 2012 0.076 0.095 2013 0.705 0.260 2014 -0.344
0.093 2015 -0.151 0.001

The earnings per share for general electric from the 2009 annual
report are given at the right. Develop an index showing the change
in earnings for the given years. Use 2000 as the base period.
Year
Earnings per Share
Index
2000
1.29
2001
1.41
2002
1.51
2003
1.52
2004
1.62
2005
1.55
2006
1.87
2007
2.18
2008
1.72
2009
1.03

Consider the following realized annual returns:
Year
Stock A
Index
2000
23.6%
47.3%
2001
24.7%
27.7%
2002
30.5%
86.9%
2003
9.0%
23.1%
2004
-2.0%
0.2%
2005
-17.3%
-3.2%
2006
-24.3%
-27.0%
2007
32.2%
27.9%
2008
4.4%
-5.1%
2009
7.4%
-11.3%
a. Calculate the average of annual returns of the index.
a. The average of annual returns of the index is
????%. (round to two decimals)
b. Compute the standard deviation of annual returns of the
index.
b. The standard deviation...

Here are the total returns for the S&P500 for the first ten
years of this century. Assume you invested $1 in the S&P500 on
January 1, 2001. Your first year's return was -11.85%.
Year
Return
2001
-11.85%
2002
-21.97%
2003
28.36%
2004
10.74%
2005
4.83%
2006
15.61%
2007
5.48%
2008
-36.55%
2009
26.94%
2010
18.00%
4 points. Q1. If you invested $1 at the beginning of the time
frame [1/1/2001], how much would it be worth five years later? Show...

Find both the arithmetic growth rate and the geometric growth
rate of the dividends for Duck's Limite.
Year
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Dividend
$1.49
$2.19
$3.42
$4.31
$5.56
$6.32
$7.12
$8.38
$8.42
$6.78
What is the arithmetic growth rate of the dividends for Duck's
Limite?
(Round to two decimal places.)
What is the geometric growth rate of the dividends for Duck's
Limite?
(Round to two decimal places.)

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 9 minutes ago

asked 15 minutes ago

asked 16 minutes ago

asked 18 minutes ago

asked 21 minutes ago

asked 30 minutes ago

asked 36 minutes ago

asked 36 minutes ago

asked 37 minutes ago

asked 42 minutes ago

asked 44 minutes ago

asked 46 minutes ago