Repeat problem witg values of 4-%, 10%, -11%, 40%, and 11.4% for tge Stocks Bs returns.

You are considering an investment in either individual stocks or a portfolio of stocks. The. two stocks you are researching, Stock A and Stock B, have the following historical returns: Year 2012 2013 2014 2015 2016 -5.00% 15.00 -20.00% 42.00 20.00 8.00 25.00 -13.00 50.00 12.00 a. Calculate the average rate of return for each stock during the 5-year period. b. Suppose you had held a portfolio consisting of 50% of Stock A and 50% of Stock B What would have been the realized rate of return on the portfolio in each year? What would have been the average return on the portfolio during this period? c. Calculate the standard deviation of returns for each stock and for the portfolio. d. Suppose you are a risk-averse investor Assuming stocks A and B are your only choices, would you prefer to hold tock A. Stock B. or the porttolio? Why