Question: QUESTION 10 Sarah is looking at her prospects of selling her investment the made 5 years ago, below is the details of her average return

 QUESTION 10 Sarah is looking at her prospects of selling her

QUESTION 10 Sarah is looking at her prospects of selling her investment the made 5 years ago, below is the details of her average return for the last 5 years Annual Rate of Return Year O 1 2 3 8% 9% 7% -10% 6% 4 5 a) Calculate the Arithmetic Average. b) Calculate the Geometric Average. Sara Also holds stocks of XYZ Corp. and wants to find out the Risk and return with the following details below: Rate of Return B D E Probability 20% 0.2 10% 0.3 0.1 -2% 0.2 -8% 0.2 c) Calculate the expected return of XYZ Corp. for Sara. d) Calculate the Standard Deviation of XYZ Corp

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