During the past five years, you owned two stocks that had the following annual rates of return:

Year	Stock T		Stock B
1	0.15		0.06
2	0.08		0.04
3	-0.15		-0.08
4	-0.05		0.04
5	0.18		0.04

1. Compute the arithmetic mean annual rate of return for each stock. Round your answers to one decimal place.

   Stock T: %

   Stock B: %

   Which stock is most desirable by this measure?
2. Compute the standard deviation of the annual rate of return for each stock. (Use Chapter 1 Appendix if necessary.) Do not round intermediate calculations. Round your answers to three decimal places.

   Stock T: %

   Stock B: %

   By this measure, which is the preferable stock?

3. Compute the coefficient of variation for each stock. (Use the Chapter 1 Appendix if necessary.) Do not round intermediate calculations. Round your answers to four decimal places.

   Stock T:

   Stock B:

   By this relative measure of risk, which stock is preferable?
4. Compute the geometric mean rate of return for each stock. Round your answers to three decimal places.

   Stock T: %

   Stock B: %