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You are given the following information concerning a stock and the market: Returns Year Market Stock 2008 15 % 27 % 2009 14 30 2010

You are given the following information concerning a stock and the market: Returns Year Market Stock 2008 15 % 27 % 2009 14 30 2010 15 6 2011 14 24 2012 37 16 2013 15 25 1. 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. Omit the "%" sign in your response.) Market Stock Average return % % Standard deviation % % 2. 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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