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ONE End of Year Price (K) Annual Dividends (K) Annual Cost (K) 2010 2011 2012 K62.5 K72.0 K65.5 K4.5 K1.6 K1.2 K3.0 K1.5 K0.5 A.
ONE End of Year Price (K) Annual Dividends (K) Annual Cost (K) 2010 2011 2012 K62.5 K72.0 K65.5 K4.5 K1.6 K1.2 K3.0 K1.5 K0.5 A. Calculate the arithmetic mean. B. Calculate the geometric mean. C. Compute the standard deviation. D. Assuming the T-Bill rate of 3% construct the SML (8 Marks) (4 Marks) (6 Marks) (5 Marks) E. The CPI (Consumer Price Index) is expected to rise from 5% to 7 % Show the effect of the CPI on the SML you constructed. (2 Marks) [TOTAL: 25 MARKS]
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