Question
Using the data in the following table, estimate the average return and volatility for each stock. (Click on the following icon in order to
Using the data in the following table, estimate the average return and volatility for each stock. (Click on the following icon in order to copy its contents into a spreadsheet.) Realized Returns Year Stock A Stock B 2008 -6% 29% 2009 7% 32% 2010 2% 9% 2011 -3% -5% 2012 4% -4% 2013 14% 32% The return of stock A is 1 %. (Round to two decimal places.) The return of stock B is 1%. (Round to two decimal places.) The variance of stock A is 1. (Round to five decimal places.) The variance of stock B is 1. (Round to five decimal places.) The standard deviation of stock A is 1 %. (Round to two decimal places.) The standard deviation of stock B is 1%. (Round to two decimal places.)
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Fundamentals of Corporate Finance
Authors: Berk, DeMarzo, Harford
2nd edition
132148234, 978-0132148238
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