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You have the ability to invest in either a stock called IC or you can invest in the S&P500 index. The following are the 4

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You have the ability to invest in either a stock called IC or you can invest in the S&P500 index. The following are the 4 year return of each: Year IC S&P 500 Co. 11 30% 17% 0% 20% 13 -8% 7% 14 9% 5% a) What are the average returns on IC and on the S&P 500 index? (3 marks) b) If you had invested $1.00 in IC, how much would you have had after 4 years. How does this compare to an investment in the S&P 500? (5 marks) c) From a visual perspective what can you conclude about the risk of the IC stock compared to the S&P 500? (2 marks)

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