You observed the following daily returns for two companies, ABC

You observed the following daily returns for two companies, ABC and DEF.


You observed the following daily returns for two companies, ABC


a. Calculate the following for each stock:
i. Five-day cumulative return
ii. Geometric mean daily return
iii. Arithmetic mean daily return
v. Standard deviation of daily returns
b. Calculate the covariance and correlation between the twostocks.