Problem 6.7. Expected Return, Standard Deviation

Calculate average rate of returns and standard deviation of the Coca Cola stock price and the Dow Jones Index, based on data below.

DATA Part Solution DATA Part Solution (Current return/Previous return)-1 (Current return/Previous return)-1 Month Returns Returns Coca Cola Stack Prices Dow Jones Index Prices Jan-20 58.40 28256.03 Feb-20 53.49 -0.08 25409.36 -0.10 Mar-20 44.25 -0.17 21917.16 -0.14 Apr-20 45.89 0.04 24345.72 0.11 May-20 46.68 0.02 25383.11 0.04 Jun-20 44.68 -0.04 25812.88 0.02 Jul-20 47.24 0.06 26428.32 0.02 Aug-20 49.53 0.05 28430.05 0.08 Sep-20 49.37 0.00 27781.7 -0.02 Oct-20 48.06 -0.03 26501.6 -0.05 Nav 20 51.60 0.07 29638.64 0.12 Dec-20 54.44 0.06 30606.48 0.03 Activate