Question: 5.12 Using the following returns, calculate the arithmetic average returns, the variances, and the standard deviations for X and Y. Returns Year X Y 1

5.12

Using the following returns, calculate the arithmetic average returns, the variances, and the standard deviations for X and Y.

Returns
Year X Y
1 7 % 24 %
2 25 45
3 14 -11
4 -15 -25
5 16 53

Requirement 1:
(a) Calculate the arithmetic average return for X.
(Click to select)11.75%9.40%11.47%7.61%10.62%

(b) Calculate the arithmetic average return for Y.
(Click to select)21.50%19.44%20.98%17.20%13.93%

Requirement 2:
(a) Calculate the variance for X. (Do not round intermediate calculations.)
(Click to select)0.0284120.0184110.0223600.0227300.027950

(b) Calculate the variance for Y. (Do not round intermediate calculations.)
(Click to select)0.1075190.0947050.1343990.1169200.146150

Requirement 3:
(a)

Calculate the standard deviation for X. (Do not round intermediate calculations.)

(Click to select)12.21%18.85%15.08%14.85%16.72%

(b)

Calculate the standard deviation for Y. (Do not round intermediate calculations.)

(Click to select)34.19%42.74%32.79%27.70%36.66%

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