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Question- AL- Salam Bank plans to invest BD 75,000 from its retained earnings for the previous years through buy one of the following stocks, as

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Question- AL- Salam Bank plans to invest BD 75,000 from its retained earnings for the previous years through buy one of the following stocks, as you are a financial analyst for the bank you offered for the bank the following information about two stocks: [10 marks] Year STC Stock Batelco Stock 1 7.5% 5.5% 2 9% 11% 3 12.5% 13% 4 10% 14.5% Required: 1- Calculate the expected return for each stock. (3 marks) 2- Calculate the risk (standard deviation and coefficient variation) for each stock. (5 marks) 3- Based on your calculation which stock you advice to be the bank to purchased, and why? (2 marks)

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