(Expected return, standard deviation, and the capital asset pricing model) You have been provided the prices for Citigroup and the S&P 500 Index in the popup window, 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? .. Graph the Citigroup returns against the S&P 500 Index returns. Show the Citigroup returns on the vertical axis and the S&P 500 Index returns on the horizontal axis. d. From your graph, describe the nature of the relationship between Citigroup stock returns and the returns for the S&P 500 Index. prices for Chigroup and the S&P 500 Index in the popup window II 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 retums. Show the Citigroup returns on the verticals and the S&P 500 Index retums on the horizontal d. From your graph, describe the nature of the relationship between Citigroup stock returns and the returns for the S&P 500 index. a. Using the data in the table, calculate the holding period noturns for each of the month for both the Standard & Poor's 500 Index and Citigroup's common stock and fill in the banks below. (Round to two decimen places) a. Using the data in the table, calculate the holding-period returns for each of the months for both the Standard & Poo places.) CITIGROUP CITIGROUP RETURN S&P 500 INDEX S&P 500 RETURN 2014 May $47.57 $1,924 June 47.10 % 1,960 June 1,960 % 1,931 % 47.10 48.91 48.91 51.65 1,931 % 2,003 % July July August August September September 51.65 51.82 % 2,003 1,972 1,972 % 51.82 Click to select your answer(s). October % % 53.53 53.53 October 2,018 2,018 2,068 November % % 53.97 53.97 November 2,068 2,059 December 54.11 % 54.11 2,059 December 2015 46.95 % % 46.95 January January February February March 1,995 1,995 2,105 2,105 52.42 E7% % 52.42 51.52 % 2,068 March 2,068 51.52 53.32 April 2,086 % b. Given the holding-period returns computed in part (a), what is the average return for Citigroup? % (Round to two decimal places.) Given the holding-period returns computed in part (a), what is the average return for the S&P 500 Index? % (Round to two decimal places.) Given the holding-period returns computed in part (a), what is the standard deviation for Citigroup? % (Round to two decimal places.) Given the holding-period returns computed in part (a). what is the standard deviation for the S&P 500 Index? El% (Round to two decimal places.) (Expected motum, standard deviation, and the capital asset pricing mode) You have been provided the price for Cligroup and the SAP 500 index in the popup window a Calculate the monthly holding period retums for Citigroup and the S&P 500 Index b. What are the average monthly retums and standard deviations for each? c. Oraph the Citigroup returns against the S&P 500 Index retums. Show the Citigroup returns on the vertical and the S&P 500 Index return on the horizontal d. From your graph, describe the nature of the relationship between Citigroup stock retums and the retums for the S&P 500 Index The graphs below illustrate the relationship between the Citigroup stock returns shown on the verticals and the SAP 500 index retums shown on the horizontal Which of the following graphs correctly shows the characteristic line that best fits the monthly returns of the S&P 500 Index and Chigroup? (Note that you can click the magnifying glass button to enlarge the graphs) (Select the best choice below) OB OA Cigroup retums Ciagroup mums 10 SAP 500 indeks 0 20 -20 -30- S&P 500 Index returns (%) S&P 500 Index returns (%) OC. OD 30 30 20 20- 10 10- Citigroup returns (%) Citigroup returns (%) -10 10 16 10 -5 -10 -10 -20 -20- S&P 500 index returns (%) S&P 500 Index returns (%) d. From the graph you chose in part (c) which of the following statements bout describes the nature of the relationship between Citigroup stock retums and the retums for the S&P 500 index? (Select the best choice below.) OA Citigroup returns are positively correlated to the S&P 500 index returns. When the stock market rises, Citigroup's stock will usually rise OB Citigroup returns are negatively correlated to the S&P 500 index retums. When the stock market rises, Cigroup's stock will fall Oc. Chigroup returns are un correlated to the S&P 500 Index retums. When the stock market is nothing will happen to tigroup's stock OD. Ctigroup returns are perfectly negatively correlated to the S&P 500 Index retums. When the stock market res percent, Citigroup's stock will fall aty 15 i Data Table CITIGROUP S&P 500 INDEX 2014 May $47.57 $1,924 June 47.10 1,960 July 48.91 1,931 August 51.65 2,003 September 51.82 1,972 October 53.53 2,018 November 53.97 2,068 December 54.11 2,059 2015 January 46.95 1,995 February 2,105 March 51.52 2,068 April 53.32 2,086 May 54.97 2,128 (Click on the icon located on the top-right corner of the data table above in order to copy its contents into a spreadsheet.) 52.42