Question: a. Calculate the arithmetie average montfly return over Eils period and ereptess your answer at a pertertage per rionith. b. Calculale the geometnc avorage monthly

 a. Calculate the arithmetie average montfly return over Eils period and

a. Calculate the arithmetie average montfly return over Eils period and ereptess your answer at a pertertage per rionith. b. Calculale the geometnc avorage monthly retum ever this period. c. Calculate the monthly variance gver this period. d. Calculate the monthly standard deviation over this penod. a. The arithmetic awerage is (Round to two decmal places.). b. The goometric average is (Fiound to two docimal places,) c. The variance is (Round to five decimal places.) d. The standard deviation is (Riournd to five decimal places,) Are both numbers useful? if so, explain why? Choose the correct answor below. A. The geomolice iverage refum is what you would have actually achieved if you had helu the stock, so this is the number you cafe about. The arithmebc average retum is useless. 3. There is no diflerence between arithmetic and geometne average returnis. The two are fust, diflerent methods to get tho same answer. C. Both numbers are useful. The gremetric average retum tells you what you would actualiy. make if you held the stock over this geriod. You can use the arithmotic average return over the period as an estimate of the expected roturn. If you use this estimate. it is what you would ixpoct to make in tho next poriod. D. The arithmetic average feturn is the best estimate of what you would eam in the future. so this: is the number you care about. The goometric avorage return is usetess

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