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Use the following data to answer all 8 of the questions. Important note regarding number formatting when you input your answers: For any answers requiring

Use the following data to answer all 8 of the questions.

Important note regarding number formatting when you input your answers:

For any answers requiring an answer in dollars, input your answer to 2 decimal places (i.e. 12.34) - do not include $ signs in your submitted answer.

For any answers requiring an answer in percentage format, input your answer to 1 decimal place (i.e. 12.3) - do not include % signs in your submitted answer

For any answers requiring an answer in numerical format, input your answer to 1 decimal place (i.e. 1.2)

Data required to solve this extra credit opportunity:

FIN340 Company Historical Stock Price & Dividend Performance
Actual Stock Performance:
Stock Price as of
Jan. 1 Dec. 31 Annual Dividend Paid
2016 $48.00 $50.40 $3.50
2017 $50.40 $45.36 $3.50
2018 $45.36 $45.81 $3.50
2019 $45.81 $57.26 $3.70
2020 $57.26 $54.40 $3.70
Key Assumptions:
Estimated Future Annual Growth Rate (i.e. Constant Growth Rate): 5.0%
10-Year Treasury Bond Rate = 1.34%
10-Year Market Return Benchmark = 9.50%
FIN340 Company Beta = 1.25

1.What is the average annual percentage return generated by the FIN340 Company between 2016 - 2020 (include dividends in your calculation)?

2. What was the geometric mean return generated by the FN340 company stock between January 1, 2016 - December 31, 2020. Calculate this specific calculation only using stock prices (ignore annual dividends paid).

3. Calculate the standard deviation (i.e. volatility/risk) based on the FIN340 company's stock performance between 2016 - 2020 (include dividends in your calculation)?

4. Based on the average annual return and risk (standard deviation) calculated previously, what was the FIN340 Company's Coefficient of Variation during the 2016 - 2020 timeframe?

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