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 8

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

Returns
Year X Y
1 8 % 18 %
2 26 39
3 15 -12
4 -16 -26
5 17 47

Requirement 1:
(a) Calculate the arithmetic average return for X.
(Click to select)12.50%12.20%8.10%10.00%11.30%

(b) Calculate the arithmetic average return for Y.
(Click to select)16.10%14.92%16.50%10.69%13.20%

Requirement 2:
(a) Calculate the variance for X. (Do not round intermediate calculations.)
(Click to select)0.0315630.0252500.0249270.0311580.020453

(b) Calculate the variance for Y. (Do not round intermediate calculations.)
(Click to select)0.0882920.1250880.0810570.1000700.110364

Requirement 3:
(a)

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

(Click to select)15.89%17.65%12.87%15.69%19.86%

(b)

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

(Click to select)33.22%39.54%25.62%31.63%29.71%

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!