Calculating Returns and Variability Youve observed the following returns on Crash-n-Burn Computer s stock over the past

Question:

Calculating Returns and Variability You’ve observed the following returns on Crash-n-Burn Computer s stock over the past five years: 2 percent, —8 percent, 24 percent, 19 percent, and 12 percent.

a. What was the arithmetic average return on Crash-n-Burn s stock over this five-year period?

b. What was the variance of Crash-n-Burn’s returns over this period, the standard deviation?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Fundamentals of Corporate Finance

ISBN: 978-0077861629

8th Edition

Authors: Stephen A. Ross, Randolph W. Westerfield, Bradford D.Jordan

Question Posted: