Question
Youve observed the following returns on Yamauchi Corporations stock over the past five years: 26.4 percent, 14.6 percent, 32.2 percent, 2.8 percent, and 21.8 percent.
You’ve observed the following returns on Yamauchi Corporation’s stock over the past five years: –26.4 percent, 14.6 percent, 32.2 percent, 2.8 percent, and 21.8 percent. | |
a. | What was the arithmetic average return on the stock over this five-year period? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) |
b. | What was the variance of the returns over this period? (Do not round intermediate calculations and round your answer to 6 decimal places, e.g., 32.161616.) |
c. | What was the standard deviation of the returns over this period? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) |
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a To calculate the arithmetic average return we sum up all the returns and divide by the number of ...Get Instant Access to Expert-Tailored Solutions
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Essentials of Corporate Finance
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
10th edition
1260013955, 1260013952, 978-1260013955
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