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Shares in Plato Inc. exhibit the following end-of-month price history over 6 consecutive months. In addition, just before the end of month 4, the company
Shares in Plato Inc. exhibit the following end-of-month price history over 6 consecutive months. In addition, just before the end of month 4, the company pays out a dividend of $0.83 per share. a Month Price 1 $50.18 2 $51.21 3 $49.79 4 $51.75 5 $52.81 6 $53.51 A) Compute the simple arithmetic average monthly return (NOT PRICE!) over the sample period reflecting the total return experience of the investor. % (Round to two decimal places) B) Compute the sample standard deviation (volatility) of total monthly returns? % (Round to three decimal places) % (Round to C) What is your best guess for the annual expected return going forward (ignore compound effects)? two decimal places) D) What is your best guess for the annual expected volatility going forward? % (Round to two decimal places)
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