Stocks A and B have the following historical returns:

Year Stock A's Returns, rA Stock B's Return rB

2013 -22.70% -15.00%

2014 23.00 16.40

2015 10.25 36.00

2016 -5.75 -9.30

2017 33.50 10.20

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.______%

Assume that someone held a portfolio 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.__________

Calculate the standard deviation of returns for each stock and for the portfolio.....

Standard Deviation Stock A Stock B Portfolio

_______ _______ ________

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

CV Stock A Stock B Portfolio

_______ _______ _________

Assuming you are a risk-averse investor, would you prefer to hold

Stock A, Stock B, or the Portfolio? ______________