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please help. thank you in advance 3. Measuring standalone risk using realized (historical) data Retums eamed over a given time period are called realized returns.
please help. thank you in advance
3. Measuring standalone risk using realized (historical) data Retums eamed over a given time period are called realized returns. Historical data on realized retums is often used to estimate future results Analysts across companies use realized stock returns to estimate the risk of a stock. Consider the case of Celestial Crane Cosmetics Inc. (CCC): Five years of realized returns for CCC are given in the following table. Aemember: 1. While CCC was started 40 years ago, its common stock has been publicly traded for the past 25 years. 2. The returns on its equity are calculated as arithmetic returns. 3. The histerical returns for CcC for 2012 to 2016 are: Given the preceding data, the average realized return on cCC's stock is The preceding data series represents \begin{tabular}{l|l|l|l|l|} historical returns is & 47.63% \\ If investors expect the average realized return from 2012 to 2016 on Cq & 19.05% \\ \hline \end{tabular} Analysts across companies use realized stock returns to estimate the risk of a stock. Consider the case of Celestial Crane Cosmetics Inc. (CCC): Five years of realized returns for CCC are given in the following table. Remember: 1. While CCC was started 40 years ago, its common stock has been publicly traded for the past 25 years. 2. The returns on its equity are calculated as arithmetic returns. 3. The historical returns for CCC for 2012 to 2016 are: Given the preceding data, the averag 7 CCC's stock is The preceding data series represents of CCC's historical returns. Based on this conclusion, the standard deviation of CCC's historical returns is If investors expect the jverage realized return from 2012 to 2016 on cCC's stock to continue into the future, its coefficient of variation (CV) will be Returns earned over a given time period are called realized returns. Historical data on realized returns is often used to estimate future results. Analysts across companies use realized stock returns to estimate the risk of a stock. Consider the case of Celestial Crane Cosmetics Inc. (CCC); Five years of realized returns for CCC are given in the following table. Remember: 1. While CCC was started 40 years ago, its common stock has been publicly traded for the past 25 years. 2. The returns on its equity are calculated as arithmetic returns. 3. The historical returns for CCC for 2012 to 2016 are: historical returns is Bosed on this conclusion, the standard deviation of CCC's If investors expect the average realized return from 2012 to 2016 on CCC's stock to continue into the future, its coefficient of variation (CV) will be Returns earned over a given time period are called realized returns. Historical data on realized returns is often used to estimate future results. Analysts across companies use realized stock returns to estimate the risk of a stock. Consider the case of Celestial Crane Cosmetics Inc. (CCC): Five years of realized returns for CCC are given in the following table. Remember: 1. While CCC was started 40 years ago, its common stock has been publicly traded for the past 25 years. 2. The returns on its equity are calculated as arithmetic returns. 3. The historical returns for CCC for 2012 to 2016 are: 0.45 c preceding data, the average realized return on CCC's stock is 0,38 eding data series represents of CCC's historical returns. Based on this conclusion, the standard deviation of CCC's 0.83 returns is 0,52 Jrs expect the average realized return from 2012 to 2016 on CCC's stock to continue into the future, its coefficient of variation (CV) will be Step by Step Solution
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