Question: Using the following returns, calculate the arithmetic average returns, the variances, and the standard deviations for X and Y. Returns Year X Y 1 9

Using the following returns, calculate the arithmetic average returns, the variances, and the standard deviations for X and Y.

Returns
Year X Y
1 9 % 25 %
2 27 46
3 16 -7
4 -17 -21
5 18 54
Requirement 1:
(a) Calculate the arithmetic average return for X.
(b) Calculate the arithmetic average return for Y.

Requirement 2:
(a) Calculate the variance for X.(Do not round intermediate calculations.)
(b) Calculate the variance for Y.(Do not round intermediate calculations.)

Requirement 3:
(a)

Calculate the standard deviation for X.(Do not round intermediate calculations.)

(b)

Calculate the standard deviation for Y.(Do not round intermediate calculations.)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!