Question: Using the data shown in the table here, that contains historical monthly prices and dividends (paid at the end of the month) for Ford Motor



Using the data shown in the table here, that contains historical monthly prices and dividends (paid at the end of the month) for Ford Motor Company stock (Ticker: F) from August 1994 to August 1998, compute the: a. Average monthly return over this period. b. Monthly volatility (or standard deviation) over this period. a. Average monthly return over this period. The average monthly return is %. (Round to two decimal places.) b. Monthly volatility (or standard deviation) over this period. The volatility of the monthly returns is %. (Round to two decimal places.) Return 1+Rt Date Aug-94 Sep-94 Oct-94 Nov-94 Dec-94 Jan-95 Feb-95 Mar-95 Apr-95 May-95 Jun-95 Jul-95 Aug-95 Sep-95 Oct-95 Nov-95 Dec-95 Jan-96 Feb-96 Mar-96 Apr-96 May-96 Jun-96 Jul-96 Stock Price $29.250 $27.750 $29.500 $27.125 $27.875 $25.250 $26.125 $26.875 $27.125 $29.250 $29.750 $29.000 $30.750 $31.125 $28.750 $28.250 $28.875 $29.500 $31.250 $34.375 $35.875 $36.500 $32.375 $32.375 Dividend $0.000 $0.000 $0.260 $0.000 $0.000 $0.260 $0.000 $0.000 $0.310 $0.000 $0.000 $0.310 $0.000 $0.000 $0.350 $0.000 $0.000 $0.350 $0.000 $0.000 $0.350 $0.000 $0.000 $0.385 -5.13% 7.24% - 8.05% 2.76% -8.48% % 3.47% 2.87% 2.08% 7.83% 1.71% -1.48% 6.03% 1.22% - 6.51% -1.74% 2.21% 3.38% 5.93% 10.00% 5.38% 1.74% - 11.30% 1.19% 0.949 1.072 0.919 1.028 0.915 1.035 1.029 1.021 1.078 1.017 0.985 1.060 1.012 0.935 0.983 1.022 1.034 1.059 1.100 1.054 1.017 0.887 1.012 Aug-96 Sep-96 Oct-96 Nov-96 Dec-96 Jan-97 Feb-97 Mar-97 Apr-97 May-97 Jun-97 Jul-97 Aug-97 Sep-97 Oct-97 Nov-97 Dec-97 Jan-98 Feb-98 Mar-98 Apr-98 May-98 Jun-98 Jul-98 Aug-98 $33.500 $31.250 $31.250 $32.750 $32.250 $32.125 $32.875 $31.375 $34.750 $37.500 $38.000 $40.875 $43.000 $45.125 $43.688 $43.000 $48.563 $51.000 $56.563 $64.813 $45.813 $51.875 $59.000 $57.000 $44.625 $0.000 $0.000 $0.385 $0.000 $0.000 $0.385 $0.000 $0.000 $0.420 $0.000 $0.000 $0.420 $0.000 $0.000 $0.420 $0.000 $0.000 $0.420 $0.000 $0.000 $23.680 $0.000 $0.000 $0.420 $0.000 3.47% - 6.72% 1.23% 4.80% - 1.53% 0.81% 2.33% -4.56% 12.10% 7.91% 1.33% 8.67% 5.20% 4.94% -2.25% -1.57% 12.94% 5.88% 10.91% 14.59% 7.22% 13.23% 13.73% -2.68% - 21.71% 1.035 0.933 1.012 1.048 0.985 1.008 1.023 0.954 1.121 1.079 1.013 1.087 1.052 1.049 0.977 0.984 1.129 1.059 1.109 1.146 1.072 1.132 1.137 0.973 0.783
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