Youve observed the following returns on INTC Corporations stock over the past five years: -25%, -16%, -9%,

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You’ve observed the following returns on INTC Corporation’s stock over the past five years: -25%, -16%, -9%, 11%, and 18%. Answer Questions

average return on stock over five years : 9.6%

variance of returns: 0.04878

a) What is the standard deviation of returns over this period?

b)What range of returns would you expect to see 95% of the time?

c)What is the geometric average return on the stock over this five-year period?

Related Book For answer-question

Corporate Finance Core Principles and Applications

ISBN: 978-0077905200

3rd edition

Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford

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Posted Date: Feb 29, 2024 12:26 AM

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Youve observed the following returns on INTC Corporations stock over the past five years: -25%, -16%, -9%,

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Lets calculate the standard deviation of returns using the formula Standard Deviation Variance where ... View the full answer

Corporate Finance Core Principles and Applications

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