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risk and its measurement in finance 1 eBook Problem 8-05 Two investments generated the following annual returns: Investment x Investment Y 200 14% 24% 20X1
risk and its measurement in finance
1 eBook Problem 8-05 Two investments generated the following annual returns: Investment x Investment Y 200 14% 24% 20X1 17 28 20X2 34 11 20X3 20 15 20X4 11 18 a. What is the average annual return on each investment? Round your answers to one decimal place. The average annual rate of return on X: % The average annual rate of return on Y: % b. What is the standard deviation of the return on investments X and Y2 Round your answers to two decimal places. Standard deviation of X: Standard deviation of Y. C. Based on the standard deviation, which investment was riskler? -Select- was riskier Step by Step Solution
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