The annual returns on the stock of a firm during the last four years are provided below.

___________________________________

Year Return

___________________________________

2016 0.10 (or 10%) 2017 0.10 (or 10%) 2018 0.15 (or 15%) 2019 0.25 (or 25%)

__________________________________

a) Find the holding period return of the stock over the four-year period. b) Compute the arithmetic average return of the stock over the four-year period. c) Calculate the geometric average return of the stock over the four-year period. d) Calculate the variance and standard deviation of the returns during this period. Use the arithmetic average return in (b) for your calculations in (d). Use at least 5 decimal places for the variance computation to avoid rounding errors.