Question: its my assignment please give correct answer thumps up on the way Ri 3% How to find the Expected Return and Standard Deviation of A

 its my assignment please give correct answer thumps up on theway Ri 3% How to find the Expected Return and Standard Deviation

its my assignment please give correct answer thumps up on the way

Ri 3% How to find the Expected Return and Standard Deviation of A STOCK GIVEN RETURNS PER PERIOD (WITHOUT PROBABILITIES) Chapter 12 Exercise 1 - Find the Expected Return and Standard deviation for the stock whose data in given below Year Ri - r bar (Ri - rbar)^2 1st step: Find E(R), the average of the stock returns. 1 2 15% E(R)=rbaru 3 -2% 2nd step: Find Ri - E(R) for each period 4 -9% Fill in the column above 8% 6 -13% 3rd step: Square the numbers found in step 2. 7 20% TOTAL 4th step: Sum the numbers of step 3. (n-1) = VARIANCE = 5th step: Find the VARIANCE, which is the number of STAND. DEV.= step 4 divided by (n-1) variance = total / (n-1) standard deviation = sq root of variance Exercise 2 - Find the Arithmetic Average and Geometric Average 5 Arithmetic Average = Geometric Average = Exercise 2 - Find the Arithmetic Average and Geometric Average Arithmetic Average = Geometric Average = Year 1+Ri 1 Ri 3% 15% 2 3 -2% 4 -9% 8% 5 6 - 13% 7 20% PRODUCT: PRODUCT to the power of (1)= PRODUCT to the power of (1) - 1= = geometric average Formulas Var(R) [CR, - R 2 + ... + (R - RI T-1 Geometric Average Return=[(1+R, )x(1+R, )X...x{1+R,)-1

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