you have been given the expected return data shown in the first table on three

assetslong dashF,

G, and

H long dashover

the period 2016-2019:

	Expected Return
Year	Asset F		Asset G		Asset H
2016	16%		17%		14%
2017	17%		16%		15%
2018	18%		15%		16%
2019	19%		14%		17%

Using these assets, you have isolated the three investment alternatives shown in the following table

Alternative		Investment
1		100% of asset F
2		50% of asset F and 50% of asset G
3		50% of asset F and 50% of asset H

a.The expected return over the 4-year period for alternative 1 is

17.50%.

The expected return over the 4-year period for alternative 2 is

16.50%.

The expected return over the 4-year period for alternative 3 is

16.50%.

b.The standard deviation of returns over the 4-year period for alternative 1 is

1.29%.

The standard deviation of returns over the 4-year period for alternative 2 is

0.00%.

The standard deviation of returns over the 4-year period for alternative 3 is

1.29%.

Use your findings in parts a and b to calculate the coefficient of variation for each of the three alternatives