Below you have been provided the prices for Citigroup and the S&P 500 Index.

a. Calculate the monthly holding-period returns for Citigroup and the S&P 500 Index.
b. What are the average monthly returns and standard deviations for each?
c. Graph the Citigroup returns against the S&P 500 Index returns.
d. Use a spreadsheet to compute the slope of the characteristic line.
e. Interpret your findings?

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CITIGROUP S&P 500 INDEX N1 May June July August September October November December $47.57 47.10 48.91 51.65 51.82 53.53 53.97 54.11 $1,924 1,960 1,931 2,003 1,972 2,018 2,068 2,059 46.95 52.42 51.52 53.32 54.97 1,995 ,100 2,068 2,086 2,128 January February April May