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Here are the returns on two stocks. table [ [ , table [ [ Digital ] , [ Cheese ] ] ,
Here are the returns on two stocks. tabletableDigitalCheesetableExecutiveFruitJanuaryFebruaryMarchAprilMayJuneJulyAugust Required: a Calculate the variance and standard deviation of each stock. Which stock is riskier if held on its own? b Now calculate the returns in each month of a portfolio that invests an equal amount each month in the two stocks. c Is the variance more or less than halfway between the variance of the two individual stocks? Complete this question by entering your answers in the tabs below. Req A ReqA Calculate the variance and standard deviation of each stock. Note: Do not round intermediate calculations. Round your answers to decimal places. tabletableDigital CheeseRetumtableExecutive FruitReturnVariance
Here are the returns on two stocks.
tabletableDigitalCheesetableExecutiveFruitJanuaryFebruaryMarchAprilMayJuneJulyAugust
Required:
a Calculate the variance and standard deviation of each stock.
Which stock is riskier if held on its own?
b Now calculate the returns in each month of a portfolio that invests an equal amount each month in the two stocks.
c Is the variance more or less than halfway between the variance of the two individual stocks?
Complete this question by entering your answers in the tabs below.
Req A
ReqA
Calculate the variance and standard deviation of each stock.
Note: Do not round intermediate calculations. Round your answers to decimal places.
tabletableDigital CheeseRetumtableExecutive FruitReturnVariance
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