Question
You are given the following information concerning a stock and the market: Returns Year Market Stock 2014 19 % 31 % 2015 15 15 2016
You are given the following information concerning a stock and the market:
Returns | ||||||
Year | Market | Stock | ||||
2014 | 19 | % | 31 | % | ||
2015 | 15 | 15 | ||||
2016 | 22 | 4 | ||||
2017 | 8 | 18 | ||||
2018 | 35 | 16 | ||||
2019 | 15 | 23 | ||||
a. Calculate the average return and standard deviation for the market and the stock. (Use Excel to complete the problem. Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)
You are given the following information concerning a stock and the market:
Returns | ||||||
Year | Market | Stock | ||||
2014 | 19 | % | 31 | % | ||
2015 | 15 | 15 | ||||
2016 | 22 | 4 | ||||
2017 | 8 | 18 | ||||
2018 | 35 | 16 | ||||
2019 | 15 | 23 | ||||
a. Calculate the average return and standard deviation for the market and the stock. (Use Excel to complete the problem. Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)
Market Stock
Average Return % %
Standard Deviation % %
b. Calculate the correlation between the stock and the market, as well as the stocks beta. (Use Excel to complete the problem. Do not round intermediate calculations. Round your correlation answer to 2 decimal places and beta answer to 4 decimal places.)
Correlation
Beta
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