Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You find a certain stock that had returns of 12.4 percent, -21.2 percent, 27.2 percent, and 18.2 percent for four of the last five years.

image text in transcribed
You find a certain stock that had returns of 12.4 percent, -21.2 percent, 27.2 percent, and 18.2 percent for four of the last five years. Assume the average return of the stock over this period was 10.4 percent. a. What was the stock's return for the missing year? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What is the standard deviation of the stock's returns? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Answer is complete but not entirely correct. 10.40 X % Missing return Standard deviation 16.56 X %

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Beyond Bitcoin Economics Of Digital Currencies And Blockchain Technologies

Authors: Hanna Halaburda, Miklos Sarvary, Guillaume Haeringer

2nd Edition

3030889300,3030889319

More Books

Students also viewed these Finance questions

Question

1. Although helpful, can emojis ever be overused?

Answered: 1 week ago