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Consider the rate of return of stocks ABC and XYZ. Required: a. Calculate the arithmetic average return on these stocks over the sample period. (Do

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Consider the rate of return of stocks ABC and XYZ. Required: a. Calculate the arithmetic average return on these stocks over the sample period. (Do not round intermediate ca your answers to 2 decimal places.) b. Which stock has greater dispersion around the mean return? ABC XYZ c. Calculate the geometric average returns of each stock. (Do not round intermediate calculations. places.) d. If you were equally likely to earn a return of 24%,8%,12%,6%, or 3%, in each year (these are the five what would be your expected rate of return? (Do not round intermediate calculations. Round your an e. What if the five possible outcomes were those of stock XYZ ? (Do not round intermediate calculat decimal places.)

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