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Question 3 2 Cronox Industries and Zealous Incorporated share prices and dividends are shown below for the period 1 9 9 5 - 2 0

Question 32
Cronox Industries and Zealous Incorporated share prices and dividends are shown below for the
period 1995-2000.
i. Use the data given to calculate annual returns for Cronox, and Zealous.
ii. Compute average return (Arithmetic Average) over the five-year period (2006-2010)
iii. Calculate the risk (standard deviation of returns) for both Cronox and Zealous.
iv. Calculate the coefficient of variation for both companies
v. Compare the two companies in terms of risk and returns.
vi. Calculate the correlation coefficient between the two stock
vii. Calculate the portfolio risk and return assuming the assets are equally weighted.|
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