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Risk and Return. See the photos of the Excel spreadsheet by filling out all the green cells. PLEASE USE AND SHOW EXCEL FORMULAS and EXISTING

Risk and Return. See the photos of the Excel spreadsheet by filling out all the green cells. PLEASE USE AND SHOW EXCEL FORMULAS and EXISTING DATA SOLVE THE PROBLEMS

image text in transcribedimage text in transcribed 1. Probability Distributions: Calculate Expected Returns A problem sometimes arises when comparing standard deviations of different securities. If they have different expected returns, you may not be able to compare them. The coefficient of variation shows risk per unit of expected return. \begin{tabular}{|l|l|l|l|l|} \hline & & Risk-free Rate \\ \hline CV for Martin & & S.00\% \\ \hline CV for U.S. Water & & Sharpe ratio for Martin \\ \hline \end{tabular} More often in finance, you are dealing with a sample of historical data. In this case you need to calculate a sample average return and sample standard deviation. 4. Find Sample Average and Sample Standard Deviation Based on Historical Data

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