1. An asset had annual returns of 13, 10, -14, 3, and 36 percent, respectively, for the past five years. What is the standard deviation of these returns?

Multiple Choice 8.96 percent ,16.05 percent, 17.92 percent, 18.09 percent, 20.03 percent

2.You own a stock that has produced an arithmetic average return of 7.8 percent over the past five years. The annual returns for the first four years were 16, 11, -19, and 3 percent, respectively. What was the rate of return on the stock in year five?

Multiple Choice

• -5.00 percent

• 2.75 percent

• 6.25 percent

• 28.00 percent

• 32.00 percent