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Question 1: Consider the following historical monthly returns for a stock over a two-year period: A) Calculate the mean (average) monthly return for this equity

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Question 1: Consider the following historical monthly returns for a stock over a two-year period: A) Calculate the mean (average) monthly return for this equity asset for each year. B) Estimate the average annual return over the two-year period. C) Calculate the variance and standard deviation of the monthly returns to measure the risk for each year. D) Estimate the standard deviation in annual returns for each year. E) Compare and interpret the results in terms of risk and return for the equity asset. Question 2: Suppose you have collected the following annual returns for ABC stock over a three-year period, including annual dividends: A) Calculate the annual return for each year. B) Calculate the average (mean) annual return over the three-year period. C) Calculate the variance and standard deviation of the annual returns to measure the risk. Question 3: Consider a hypothetical example involving the monthly returns of a stock over a two-year period. Calculate the semi-variance below a specific threshold (let's use zero) for this stock

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