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Problem 5 Intro The following table shows rates of return for two stocks. A B C 1 Year Stock A Stock B 2 1 14%
Problem 5
Intro
The following table shows rates of return for two stocks.
A | B | C | |
1 | Year | Stock A | Stock B |
2 | 1 | 14% | 13% |
3 | 2 | -10% | -14% |
4 | 3 | -6% | -4% |
5 | 4 | 5% | 28% |
6 | 5 | 14% | 8% |
7 | 6 | 5% | 7% |
Attempt 1/3 for 10 pts.
Part 1
What is the arithmetic average return for stock B?
Submit
Attempt 1/3 for 10 pts.
Part 2
What is the covariance of returns? (Use =COVARINACE.S function in Excel)
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