Question: Here are the returns on two stocks. Digital Cheese Executive Fruit January +18 +8 February 4 +1 March +6 +5 April +8 +16 May 5

Here are the returns on two stocks.

	Digital Cheese		Executive Fruit
January		+18		+8
February		4		+1
March		+6		+5
April		+8		+16
May		5		+2
June		+4		+6
July		3		4
August		9		3

a-1. Calculate the variance and standard deviation of each stock. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

a-2. Which stock is the riskier if held on its own?

Digital Cheese
Executive Fruit

b. Now calculate the returns in each month of a portfolio that invests an equal amount each month in the two stocks. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to 2 decimal places.)

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