• A. Using the two stocks you selected from Homework #1, identify the Beta for each stock. In your own words, what conclusion can you draw from the stocks? current and historical beta? If the stock market went up 10% today, what would be the impact on each of your stocks?
• B. Using the 2014 financial statements from your stocks above and the equations from your textbook, prepare the Historical Average and Standard Deviation for each stock.
• Explain how you reached the answer or show your work if a mathematical calculation is needed, or both