Question

The last four years of returns for a share are as​ follows: Year 1 2 3...

The last four years of returns for a share are as​ follows:

Year

1

2

3

4

Return

−4.4​%

28.5​%

12.1​%

4.2​%

a. What is the average annual​ return?

b. What is the variance of the​ share's returns?

c. What is the standard deviation of the​ share's returns?

​Note: Enter your answers for the average return and standard deviation as percentages. For the​ variance, enter your answer as a decimal number.

a. The average return is .................... ​%. ​(Enter your response as a percent rounded to two decimal​ places.)

b. The variance of the returns is .................... ​(Round to five decimal​ places.)

c. The standard deviation is .................... ​​%. ​(Enter your response as a percent rounded to two decimal​ places.)

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

a. The average return is 10.10 ​%.

b. The variance of the returns is 0.01959

c. The standard deviation is 14.00 ​​%.

Calculations as below:

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
The last four years of returns for a stock are as follows: 1 2 3 4...
The last four years of returns for a stock are as follows: 1 2 3 4    -3.5%      +28.5%      +12.5%      +4.5%   (a) What is the average annual return? Answer%. (Round to two decimal places.) (b) What is the variance of the stock's returns? Answer. (Round to five decimal places.) (c) What is the standard deviation of the stock's returns? Answer%. (Round to two decimal places.)
ye The last four years of returns for a stock are as shown​ here: year 1,...
ye The last four years of returns for a stock are as shown​ here: year 1, -4.4% year 2 28.4% year 3 12.4% year 4 3.8% a. What is the average annual​ return? b. What is the variance of the​ stock's returns? c. What is the standard deviation of the​ stock's returns? Note​: Notice that the average return and standard deviation must be entered in percentage format. The variance must be entered in decimal format. round to five decimal places
The last four years of returns for a stock are as​ follows: Year 1 2 3...
The last four years of returns for a stock are as​ follows: Year 1 2 3 4 Return -4.3​% 27.9​% 12.5​% 4.2​% a. What is the average annual​ return? b. What is the variance of the​ stock's returns? c. What is the standard deviation of the​ stock's returns?
The last four years of returns for a stock are as? follows: Year 1 2 3...
The last four years of returns for a stock are as? follows: Year 1 2 3 4 Return negative 3.9?3.9?% 27.827.8?% 12.212.2?% 3.93.9?% a. What is the average annual? return? b. What is the variance of the? stock's returns? c. What is the standard deviation of the? stock's returns?
You’ve observed the following returns on Barnett Corporation’s stock over the past five years: –27.3 percent,...
You’ve observed the following returns on Barnett Corporation’s stock over the past five years: –27.3 percent, 15.2 percent, 33.4 percent, 3.1 percent, and 22.1 percent. What was the arithmetic average return on the stock over this five-year period? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Arithmetic average return % = What was the variance of the returns over this period? (Do not round intermediate calculations and round your...
You’ve observed the following returns on Yasmin Corporation’s stock over the past five years: 19 percent,...
You’ve observed the following returns on Yasmin Corporation’s stock over the past five years: 19 percent, –13 percent, 16 percent, 21 percent, and 10 percent. a. What was the arithmetic average return on the company's stock over this five-year period? (Do not round intermediate calculations. Enter your answer as a percent rounded to 1 decimal place, e.g., 32.1.) Average return            {C} {C}{C} % b-1 What was the variance of the company's stock returns over this period? (Do not...
The last four years of returns for a stock are as shown​ here: -3.8%, 27.6%, 11.7%,3.8%...
The last four years of returns for a stock are as shown​ here: -3.8%, 27.6%, 11.7%,3.8% a. What is the average annual​ return? b. What is the variance of the​ stock's returns? c. What is the standard deviation of the​ stock's returns? Note​: Notice that the average return and standard deviation must be entered in percentage format. The variance must be entered in decimal format.
Returns Year X Y 1 17 % 22 % 2 31 32 3 12 16 4...
Returns Year X Y 1 17 % 22 % 2 31 32 3 12 16 4 – 24 – 29 5 10 23 Using the returns shown above, calculate the arithmetic average returns, the variances, and the standard deviations for X and Y. Fill in the table below. (Do not round intermediate calculations. Enter your average return and standard deviation as a percent rounded to 2 decimal places, e.g., 32.16, and round the variance to 5 decimal places, e.g., .16161.)...
Returns Year   X Y 1 11 % 23 % 2   15 26 3   10 11 4...
Returns Year   X Y 1 11 % 23 % 2   15 26 3   10 11 4 –13 –14 5   10 16 Using the returns shown above, calculate the arithmetic average returns, the variances, and the standard deviations for X and Y. (Do not round intermediate calculations. Enter your average return and standard deviation as a percent rounded to 2 decimal places, e.g., 32.16, and round the variance to 5 decimal places, e.g., 32.16161.)
The rates of return on Cherry Jalopies, Inc., stock over the last five years were 15...
The rates of return on Cherry Jalopies, Inc., stock over the last five years were 15 percent, 11 percent, −1 percent, 4 percent, and 13 percent. Over the same period, the returns on Straw Construction Company’s stock were 16 percent, 20 percent, −3 percent, 1 percent, and 12 percent. Calculate the variances and the standard deviations for Cherry and Straw. (Do not round intermediate calculations. Enter your variance as a decimal rounded to 5 decimal places. Enter your standard deviation...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT