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FIN 3200 1. Based on the following data; calculate the average return and the standard deviation of returns for Stock X. (From Chapter 10) YEAR
FIN 3200 1. Based on the following data; calculate the average return and the standard deviation of returns for Stock X. (From Chapter 10) YEAR Stock X Rate of Return 2012 -5% 2016 15% 2010 20% 2010 30% 2. Based on the following data; calculate the expected return and the standard deviation of returns for each stock. (From Chapter 11) State of the Economy Probability Stock A Rate of Return Stock B Rate of Return Recession 0.25 6% -20% Normal Growth 0.45 7% 13% Boom 0.3 11% 33% 3. Based on the following data; (a) calculate the expected return and the standard deviation of returns for each stock. State of the Economy Recession Normal Growth Boom Probability 0.2 0.65 0.15 Stock A Rate of Return Stock B Rate of Return 4% -20% 8% 20% 16% 60%
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