Question

In: Finance

A stock had returns of 18.66 percent, 22.09 percent, −15.35 percent, 9.17 percent, and 28.24 percent...

A stock had returns of 18.66 percent, 22.09 percent, −15.35 percent, 9.17 percent, and 28.24 percent for the past five years. What is the standard deviation of the returns?

Solutions

Expert Solution

Standard deviation is 17.06%

Step-1:Calculation of average return
Year Return
1 18.66%
2 22.09%
3 -15.35%
4 9.17%
5 28.24%
Total 62.81%
Average return 62.81% / 5 = 0.12562
Step-2:Calculation of variance
Year Return Average return
a b c=(a-b)^2
1 18.66% 12.56% 0.003719
2 22.09% 12.56% 0.009078
3 -15.35% 12.56% 0.077908
4 9.17% 12.56% 0.001151
5 28.24% 12.56% 0.02458
Total 0.116435
Variance = 0.116435 / 4 =    0.02911
Step-3:Calculation of standard deviation
Standard deviation = Variance ^ (1/2)
=    0.02911 ^ (1/2)
= 17.06%

jeff jeffy answered 3 months ago
Next > < Previous

Related Solutions

A stock had returns of 16.39 percent, ?6.31 percent, and 23.51 percent for the past three...
A stock had returns of 16.39 percent, ?6.31 percent, and 23.51 percent for the past three years. What is the standard deviation of the returns?
A stock had returns of 10 percent, -4 percent, 4 percent, and 18 percent over the...
A stock had returns of 10 percent, -4 percent, 4 percent, and 18 percent over the past four years. What is the standard deviation of these returns?
A stock had returns of 8 percent, –8 percent, 3 percent, and 14 percent over the...
A stock had returns of 8 percent, –8 percent, 3 percent, and 14 percent over the past 4 years. What is the standard deviation of this stock for the past four years? Multiple choice 16.1 percent 4.7 percent 9.3 percent 4.3 percent
A stock had returns of 5 percent, 9 percent, 11 percent, −8 percent, and 6 percent...
A stock had returns of 5 percent, 9 percent, 11 percent, −8 percent, and 6 percent over the past five years. What is the standard deviation of these returns? Multiple Choice 11.14 percent 7.44 percent 8.44 percent 4.60 percent 5.97 percent
A stock had returns of 15 percent, 2 percent, 10 percent, 12 percent, -7 percent, and...
A stock had returns of 15 percent, 2 percent, 10 percent, 12 percent, -7 percent, and -3 percent over the past six years. What is the geometric average return for this time period?
A stock had returns of 19.02 percent, 22.72 percent, −16.16 percent, 9.44 percent, and 28.51 percent...
A stock had returns of 19.02 percent, 22.72 percent, −16.16 percent, 9.44 percent, and 28.51 percent for the past five years. What is the standard deviation of the returns?
A stock had returns of 19.02 percent, 22.72 percent, −16.16 percent, 9.44 percent, and 28.51 percent...
A stock had returns of 19.02 percent, 22.72 percent, −16.16 percent, 9.44 percent, and 28.51 percent for the past five years. What is the standard deviation of the returns?
A stock had returns of 16.15 percent, 23.91 percent, −11.72 percent, and 9.59 percent over four...
A stock had returns of 16.15 percent, 23.91 percent, −11.72 percent, and 9.59 percent over four of the past five years. The arithmetic average return over the five years was 13.19 percent. What was the stock return for the missing year?
a stock has had returns of 15 percent, 26 percent, -20 percent and 5 percent over...
a stock has had returns of 15 percent, 26 percent, -20 percent and 5 percent over the last 4 years. what is the holding period return for the stock?
h A stock had returns of 19.06 percent, 22.79 percent, −16.25 percent, 9.47 percent, and 28.54...
h A stock had returns of 19.06 percent, 22.79 percent, −16.25 percent, 9.47 percent, and 28.54 percent for the past five years. What is the standard deviation of the returns? 22.02% 3.10% 17.62% 31.04% 14.10%
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT