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Instructor-created question Question Help Variance and standard deviation. Calculate the variance and the standard deviation of U.S. Treasury bills, long-term government bonds, and small-company stocks

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Instructor-created question Question Help Variance and standard deviation. Calculate the variance and the standard deviation of U.S. Treasury bills, long-term government bonds, and small-company stocks for 1950 to 1959, 1960 to 1969, 1970 to 1979, and 1980 to 1989 from Table 8.1. Which had the highest variance? Which had the lowest variance? Click on the Spreadsheet Learning Aid to see Table 8.1-Year-by-Year Returns, 1950-1999. Hint: Make sure to round all intermediate calculations to at least seven (7) decimal places. The input instructions, phrases in parenthesis after each answer box, only apply for the answers you will type. What is the variance of U.S. Treasury bills for 1980 to 1989? The variance of U.S. Treasury bills for 1980 to 1989 is []%. (Round to five decimal places.) What is the standard deviation of U.S. Treasury bills for 1980 to 1989? The standard deviation of U.S. Treasury bills for 1980 to 1989 is %. (Round to three decimal places.) What is the variance of long-term government bonds for 1980 to 1989? The variance of long-term government bonds for 1980 to 1989 is % (Round to five decimal places.) What is the standard deviation of long-term government bonds for 1980 to 1989? The standard deviation of long-term government bonds for 1980 to 1989 is 1%. (Round to three decimal places.) Calculate the variance of small-company stocks for 1980 to 1989? The variance of small-company stocks for 1980 to 1989 is % (Round to five decimal places.) Calculate the standard deviation of small company stocks for 1980 to 1989? The standard deviation of small-company stocks for 1980 to 1989 is % (Round to three decimal places.) Large Company Small Company Blocks Boeke ble 8.1 Yearby-Year Returns, 1950-4999 Three Month Long Term U.. Treasury Government Year Bonds 1950 120% 0.00% 1951 1.49% -1.95% 1952 11.66% 1.93% 1953 1.82% 3.83% 1954 0.86% 4,88% 1955 1.67% 2.46% -5.12% 3.14% 9.46% 1958 1.54% -3.71% 1959 2.95% -3,56% 1960 2,66% 13.78% 1961 2.13% 0.19% 1962 2.72% 6.81% 1963 3.12% -0.49% 1964 3,54% 4.51% 1965 3.94% -0.27% 1966 4.77% 3.70% 1967 4.24% -7.41% 1968 5.24% -1.20% 1969 6.59% -8.52% 1970 6.50% 12.69% 1971 4.34% 17.47% 1972 3.81% 5.55% 1973 6.91% 1.40% 11974 7.93% 5.53% 1975 5.80% 8.50% 1976 5.06% 11.07% 1977 5.10% 0.90% 1978 7.15% 4.16% 1979 10.45% 9.02% 1980 11.57% 13.17% 1981 14.95% 3.61% 1982 10.71% 6.52% 1983 8.85% -0.53% 1984 10.02% 15.29% 1985 7.83% 32.68% 1986 6.18% 23.96% 1987 5,50% -2.65% 1988 6.44% 8.40% 1989 8.32% 19.49% 1990 7.86% 7.13% 5,65% 18.39% 1992 3,54% 7.79% 1993 2.97% 15.48% 1994 3.91% -7.18% 1995 5.58% 31.67% 1996 5.50% -0.81% 1997 5.32% 15.08% 1998 5.11% 13.52% 1999 4.80% -8.74% 50-year average 5.226% 5.936% Standard Deviation 2.980% 9.493% 32.68% 23.47% 18.91% -1.74% 52 55% 31 44% 6,45% .11.14% 43.78% 12.95% 0.19% 27.63% -8.79% 22.63% 16.67% 12.50% -10.25% 24.11% 11.00% -8.33% 4,10% 14.17% 19.14% -14.75% -26,40% 37.26% 23.98% -7.26% 6.50% 18.77% 32.48% 4.98% 22.09% 22.37% 6.46% 32.00% 18.40% 5.34% 16.86% 31.34% 3.20% 30.66% 7.71% 9.87% 1.29% 37,71% 23.07% 33.17% 28.58% 21.04% 14.890% 9.41% 6.30% -5.66% 65.13% 21.84% 3.82% - 15.03% 70.63% 17.82% -6.16% 30 48% -16.41% 12 20% 18.75% 37 67% -8.08% 103.39% 50.61% -32.27% -16.54% 18.44% -0.62% 40.54% -29.74% 69.54% 54.81% 22.02% 22.29% 43.99% 35.34% 7.79% 27.44% 34.49% -14.02% 28 21% 3.40% -13.95% 21.72% 8.37% -27.08% 50.24% 27.14% 20 30% T 1991 33.21% 16.50% 22.36% -2.55% 21.26% 17.103% 16.695% 29.043% Note: Sources for annual retums we the Center for Research on Security Prices, Standard & Poor's 500 index, Russell 2000 index, wd Solomon-Smith Bamey U.S. Treasury bill index

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