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You have decided to create a table to analyze the performance of two stocks and you will select one for inclusion in your portfolio. Given

You have decided to create a table to analyze the performance of two stocks and you will select one for inclusion in your portfolio. Given the end-of-year price data presented below, answer the following questions. Adding columns to your table will facilitate analysis.

Using excel answer the following:

A.) What are the annual rates of return for each stock?

B.) What is the average rate of return for each stock?

C.) What is the standard deviation for each stock?

D.) Which stock is riskier?

Year

Stock A

Stock B

2011

$77.50

$42.50

2012

88.75

47.70

2013

127.82

58.10

2014

94.14

50.87

2015

103.30

35.38

2016

148.43

64.14

2017

153.71

78.32

2018

199.07

99.55

2019

228.55

112.16

2020

91.50

125.49

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