Question: Solve the questions SECTION C (22 MARKS) ANSWER ONE QUESTION FROM THIS SECTION. 1. The following are annual rates of return for Ghana government T-bills

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SECTION C (22 MARKS) ANSWER ONE QUESTION FROM THIS SECTION. 1. The following are annual rates of return for Ghana government T-bills and Nigeria common stocks Year Ghana Government T-Bills Nigeria Common Stock 2012 0.063 0.150 2013 0.081 0.043 2014 0.076 0.374 2015 0.090 0,192 2016 0.085 0.106 a. Compute the arithmetic mean annual rate of return for cach investment. Which investment is most desirable by this measure? (6 MARKS) b. Compute the standard deviation of the annual rate of return for each investment. By this measure, which is the preferable investment? (6 MARKS) c. Compute the coefficient of variation for each investment. By this relative measure of risk, which investment is preferable? (4 MARKS) d. Compute the geometric mean rate of return for each investment. Discuss the difference between the arithmetic mean return and the geometric mean return for each investment. (6 MARKS) Total (2 MARKSI

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