Question: in clear way and details Problem 2. (40 points) Historical data of the returns for Goodman and Landry is given in the table below. 2013
Problem 2. (40 points) Historical data of the returns for Goodman and Landry is given in the table below. 2013 2012 2011 2010 2009 Goodman 24.8% 62.7% 2.9% 60.9% Landrv -1.0% 13.2% -10.0% -0.4% 11.7% a) Calculate the average return for both companies b) Calculate standard deviation using the historical data Of the returns for Goodman and Landry. Which one is more risky? c) Suppose you invest 30% in Goodman and 70% in Landry. what will be the risk of your portfolio?
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