Stocks A and B have the following historical returns:

Year Stock A's Returns, r_AStock B's Returns, r_B 2013 - 19.40% - 17.90% 2014 37.75 23.80 2015 15.25 35.70 2016 - 5.50 - 6.70 2017 26.25 19.45

A. Calculate the average rate of return for stock A during the period 2013 through 2017. Round your answer to two decimal places. %

Calculate the average rate of return for stock B during the period 2013 through 2017. Round your answer to two decimal places. %

B. Assume that someone held a portfolio consisting of 50% of Stock A and 50% of Stock B. What would the realized rate of return on the portfolio have been each year? Round your answers to two decimal places. Negative values should be indicated by a minus sign.

Year Portfolio 2013 2014 2015 2016 2017

What would the average return on the portfolio have been during this period? Round your answer to two decimal places. %

C. Calculate the standard deviation of returns for each stock and for the portfolio. Round your answers to two decimal places.

Stock A Stock B Portfolio Standard Deviation % % %

D. Calculate the coefficient of variation for each stock and for the portfolio. Round your answers to two decimal places.

Stock A Stock B Portfolio CV

Assuming you are a risk-averse investor, would you prefer to hold Stock A, Stock B, or the portfolio?

-Select-Stock AStock BPortfolio