Use the data in the following table Year End S P 500 Index Dividends Paid S P 500 Realized Return Microsoft Realized Return 1 Month T Bill Return 2004 1211 92 2005 1248 29 23 15 4 90 0 90 3 00 2006 1418 3 27 16 15 80 15 80 4 80 2007 1468 36 27 86 5 50 20 80 4 70 2008 903 25 21 85 37 00 44 40 1 50 2009 1115 1 27 19 26 50 60 50 0 10 2010 1257 64 25 44 15 10 6 50 0 10 2011 1257 61 26 59 2 10 4 50 0 00 2012 1426 19 32 67 16 00 5 80 0 10 2013 1848 36 39 75 32 40 44 30 0 00 2014 2058 9 42 47 13 70 27 60 0 00 2015 2043 94 43 45 1 40 22 70 0 00 2016 2238 83 49 56 12 00 15 10 0 20 2017 2673 61 53 99 21 80 40 70 0 80 a) What was the average dividend yield for the S P 500 from 2005 2017 b) What was the volatility of the dividend yield c) What was the average annual return of the S P 500 from 2005 2017 excluding dividends (i e , from capital gains only) d) What was the volatility of the S P 500 returns from capital gains e) Were dividends or capital gains a more important component of the S P 500's average returns during this period Which were the more important source of volatility Question 1 10 points Use the data in the following table Year End Dividends Paid S P 500 Microsoft Realized Realized Return Return 1 Month T Bill Return 23 15 27 16 27 86 21 85 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 S P 500 Index 1211 92 1248 29 1418 3 1468 36 903 25 1115 1 1257 64 1257 61 1426 19 1848 36 2058 9 2043 94 2238 83 2673 61 25 44 26 59 32 67 39 75 42 47 43 45 49 56 53 99 4 90 15 80 5 50 37 00 26 50 15 10 2 10 16 00 32 40 13 70 1 40 12 00 21 80 0 90 15 80 20 80 44 40 60 50 6 50 4 50 5 80 44 30 27 60 22 70 15 10 40 70 3 00 4 80 4 70 1 50 0 10 0 10 0 00 0 10 0 00 0 00 0 00 0 20 0 80 a) What was the average dividend yield for the S P 500 from 2005 2017 b) What was the volatility of the dividend yield c) What was the average annual return of the S P 500 from 2005 2017 excluding dividends (i e , from capital gains only) d) What was the volatility of the S P 500 returns from capital gains e) Were dividends or capital gains a more important component of the S P 500's average returns during this period Which were the more important source of volatility

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Question: Use the data in the following table: Year End S&P 500 Index Dividends Paid* S&P 500 Realized Return Microsoft Realized Return 1-Month T-Bill Return 2004

Use the data in the following table: Year End S&P 500 Index Dividends Paid* S&P 500 Realized Return Microsoft Realized Return 1-Month T-Bill Return 2004 1211.92 2005 1248.29 23.15 4.90% -0.90% 3.00% 2006 1418.3 27.16 15.80% 15.80% 4.80% 2007 1468.36 27.86 5.50% 20.80% 4.70% 2008 903.25 21.85 -37.00% -44.40% 1.50% 2009 1115.1 27.19 26.50% 60.50% 0.10% 2010 1257.64 25.44 15.10% -6.50% 0.10% 2011 1257.61 26.59 2.10% -4.50% 0.00% 2012 1426.19 32.67 16.00% 5.80% 0.10% 2013 1848.36 39.75 32.40% 44.30% 0.00% 2014 2058.9 42.47 13.70% 27.60% 0.00% 2015 2043.94 43.45 1.40% 22.70% 0.00% 2016 2238.83 49.56 12.00% 15.10% 0.20% 2017 2673.61 53.99 21.80% 40.70% 0.80% a) What was the average dividend yield for the S&P 500 from 2005-2017? b) What was the volatility of the dividend yield? c) What was the average annual return of the S&P 500 from 2005-2017 excluding dividends (i.e., from capital gains only)? d) What was the volatility of the S&P 500 returns from capital gains? e) Were dividends or capital gains a more important component of the S&P 500's average returns during this period? Which were the more important source of volatility? Use the data in the following table: Year End S&P 500 Index

Question 1[10 points] Use the data in the following table: Year End Dividends Paid" S&P 500 Microsoft Realized Realized Return Return 1-Month T-Bill Return 23.15 27.16 27.86 21.85 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 S&P 500 Index 1211.92 1248.29 1418.3 1468.36 903.25 1115.1 1257.64 1257.61 1426.19 1848.36 2058.9 2043.94 2238.83 2673.61 25.44 26.59 32.67 39.75 42.47 43.45 49.56 53.99 4.90% 15.80% 5.50% -37.00% 26.50% 15.10% 2.10% 16.00% 32.40% 13.70% 1.40% 12.00% 21.80% -0.90% 15.80% 20.80% -44.40% 60.50% -6.50% 4.50% 5.80% 44.30% 27.60% 22.70% 15.10% 40.70% 3.00% 4.80% 4.70% 1.50% 0.10% 0.10% 0.00% 0.10% 0.00% 0.00% 0.00% 0.20% 0.80% a) What was the average dividend yield for the S&P 500 from 2005-2017? b) What was the volatility of the dividend yield? c) What was the average annual return of the S&P 500 from 2005-2017 excluding dividends (i.e., from capital gains only)? d) What was the volatility of the S&P 500 returns from capital gains? e) Were dividends or capital gains a more important component of the S&P 500's average returns during this period? Which were the more important source of volatility

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