Rate of return, standard deviation, coefficient of variation Personal Finance Problem Mike is searching for a stock to include in his current stock portfolio. He is interested in Hi-Tech Inc., he has been impressed with the company's computer products and believes Hi-Tech is an innovative market player. However, Mike realizes that any time you consider a technology stock, risk is a major concern The rule he follows is to include only securities with a coefficient of variation of returns below 1.13 Mike has obtained the following price information for the period 2012 through 2015: EEB. Hi-Tech stock, being growth-oriented, did not pay any dividends during these 4 years a. Calculate the rate of returm for each year, 2012 through 2015, for Hi-Tech stock. b. Assume that each year's return is equally probable and calculate the average return over this time period c. Calculate the standard deviation of returns over the past 4 years. (Hint Treat this data as a sample.) d. Based on b and c determine the coefficient of variation of returns for the security e. Given the calculation in d what should be Mike's decision regarding the inclusion of Hi-Tech stock in his portfolio? a. The rate of return for year 2012 is | %. (Round to two decimal places.) Data Table (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Stock price Year 2012 2013 2014 2015 Beginning $14.93 $20.86 $63.18 $71.36 End $20.86 $63.18 $71.36 $91.26 PrintDone