In: Finance
Calculate Adidas' and S&P 500 Index's average rate of returns and standard deviation, based on the data below.
DATA |
||||||||||
Month |
Adidas |
S&P 500 |
||||||||
Stock Prices |
Index |
|||||||||
Jan-19 |
52.9 |
2368.45 |
||||||||
Feb-19 |
67.16 |
2363.64 |
||||||||
Mar-19 |
68.73 |
2362.72 |
||||||||
Apr-19 |
65.41 |
2384.2 |
||||||||
May-19 |
62.99 |
2411.8 |
||||||||
Jun-19 |
70.1 |
2423.41 |
||||||||
Jul-19 |
69.05 |
2470.3 |
||||||||
Aug-19 |
62.81 |
2471.65 |
||||||||
Sep-19 |
61.85 |
2519.36 |
||||||||
Oct-19 |
64.99 |
2575.26 |
||||||||
Nov-19 |
70.42 |
2647.58 |
||||||||
Dec-19 |
72.55 |
2673.61 |
||||||||
Month | Adidas | S&P 500 | |||
Stock Prices | Deviation ^2=Mthly.price-65.75)^2 | Index | Deviation ^2=Mthly.price-2472.67)^2 | ||
19-Jan | 52.9 | 165.12 | 2368.45 | 10861.81 | |
19-Feb | 67.16 | 1.99 | 2363.64 | 11887.54 | |
19-Mar | 68.73 | 8.88 | 2362.72 | 12089.00 | |
19-Apr | 65.41 | 0.12 | 2384.2 | 7826.94 | |
19-May | 62.99 | 7.62 | 2411.8 | 3705.16 | |
19-Jun | 70.1 | 18.92 | 2423.41 | 2426.55 | |
19-Jul | 69.05 | 10.89 | 2470.3 | 5.62 | |
19-Aug | 62.81 | 8.64 | 2471.65 | 1.04 | |
19-Sep | 61.85 | 15.21 | 2519.36 | 2179.96 | |
19-Oct | 64.99 | 0.58 | 2575.26 | 10524.71 | |
19-Nov | 70.42 | 21.81 | 2647.58 | 30593.51 | |
19-Dec | 72.55 | 46.24 | 2673.61 | 40376.88 | |
Total for 12 mths. | 788.96 | 306.02 | 29671.98 | 132478.71 | |
Average (Total /12) | 65.75 | 306.02/(12-1)= | Variance =Sum deviation^2/(n-1) | 2472.67 | 132478.71/(12-1)= |
27.82 | Variance | 12043.52 | |||
5.27 | Std.deviation=Variance^(1/2) | 109.74 | |||
Sq. rt. Of variance | |||||
Average Price | 65.75 | 2472.67 | |||
Variance | 27.82 | 12043.52 | |||
Std. deviation | 5.27 | 109.74 |