Question

In: Finance

A stock had annual returns of 5.6%, 10.4%, -6.7%, 8.1%, and -5.9%. What was its arithmetic...

A stock had annual returns of 5.6%, 10.4%, -6.7%, 8.1%, and -5.9%. What was its arithmetic average annual return during that period? Answer in percentage, rounded to two decimal places.

Same stock as in question 6.1: Annual returns of 5.6%, 10.4%, -6.7%, 8.1%, and -5.9%. What was its compound average annual return during that period? Answer in percentage, rounded to two decimal places.

Same stock as in question 6.1: Annual returns of 5.6%, 10.4%, -6.7%, 8.1%, and -5.9%. What was its total return during that period? Answer in percentage, rounded to two decimal places.

Same stock as in question 6.1: Annual returns of 5.6%, 10.4%, -6.7%, 8.1%, and -5.9%. What was its volatility (sample standard deviation) during that period? Answer in percentage, rounded to two decimal places.

Solutions

Expert Solution

FOR COMPOUNDED AVERAGE ANNUAL RETURN, ADD RETURN TO 100, THEN TAKE 5TH ROOT AND THEN SUBTRACT 100


Related Solutions

What are the arithmetic and geometric average returns for a Property D with annual returns of...
What are the arithmetic and geometric average returns for a Property D with annual returns of 11 percent, 14 percent, -2 percent and 6 percent? A. 7.25%; 7.08% B. 8.25%; 7.89% C. 8.25%; 8.15% D. 7.25%; 7.37% E. 7.25%; 8.15%
What is the arithmetic mean for the following stock returns: R1=6.3%, R2=4%, R3=7.2%?
You bought a bond for $950 1 year ago. You have received a coupon of $60. You can sell the bond for $977 today. What is your total dollar return?What is the arithmetic mean for the following stock returns: R1=6.3%, R2=4%, R3=7.2%?
Calculate annual arithmetic rate of return and annual geometric rate of return of stock A and...
Calculate annual arithmetic rate of return and annual geometric rate of return of stock A and B. Consider the data in table below, which show the movements in price for two stocks over two successive holding periods. Both stocks have a beginning price of $10. Stock A rises to $40 in period 1 and then declines to $30 in period 2. Stock B falls to $8 in period 1 and then rises to $25 in period 2.
What is the arithmetic mean for the following stock returns: R1=6.3%, R2=4%, R3=7.2%? A) 17.5% B)...
What is the arithmetic mean for the following stock returns: R1=6.3%, R2=4%, R3=7.2%? A) 17.5% B) 4.375% C) 5.833% D) 5.825% E) 18.512%
Q1: Calculate the standard deviation of returns on a stock that had the following returns in...
Q1: Calculate the standard deviation of returns on a stock that had the following returns in the past three years: Year Return    1 9%                                                         2 -12%                                                         3 18% Q: A company has a target capital structure of 55% common stock, 10% preferred       stock, and 35% debt. Its cost of equity is 13%, the cost of preferred stock is 7%,         and the cost of debt is 8%. The relevant tax rate is 30%. What is the company’s       Weighted Average Cost...
A stock had returns of 18.58%, 1.34%, and 20.81% for the past three years. What is...
A stock had returns of 18.58%, 1.34%, and 20.81% for the past three years. What is the variance of returns? Answer with a decimal to the 4th place. Please show work on paper, dont use excel
A stock had returns of 18.58%, -5.58%, and 20.81% for the past three years. What is...
A stock had returns of 18.58%, -5.58%, and 20.81% for the past three years. What is the variance of returns? Enter as a decimal, rounding to 4th decimal place. (E.g., 0.0357)
The following stock prices pertain to Tesla (TSLA). Calculate the arithmetic and geometric returns from 2010...
The following stock prices pertain to Tesla (TSLA). Calculate the arithmetic and geometric returns from 2010 to 2019. Complete chart to help with problem . 2010 $ 4.82 2011 $ 5.81 2012 $ 7.51 2013 $ 36.28 2014 $ 40.72 2015 $ 38.24 2016 $ 50.38 2017 $ 70.86 2018 $ 61.40 2019 $130.11 A. Calculate the arithmetic average annual return for Tesla from 2010 through 2019. B. Calculate the geometric average annual return for Tesla from 2010 through 2019.
The average arithmetic return of the US stock market has been10%. The average annual corporate...
The average arithmetic return of the US stock market has been 10%. The average annual corporate bond return in the US has been 5%. The average 30-yr US Treasury bond return in the US has been 5%. Finally, the average annual US 1-month Treasury bill return in the US has been 3.5%. From this information, please calculate the equity risk premium within the US.
Below are the annual returns of the stock A, B, C and D and the market...
Below are the annual returns of the stock A, B, C and D and the market portfolio for the period 2018-2022. Find the expected return and standard deviation of the stock A, B, C, D and the market portfolio. PREPARED BY HANDWRITING. Year Prob. Asset A Asset B Asset C Asset D Market 2018 0,20 11,00 9,00 12,00 15,00 14,00 2019 0,25 13,00 11,00 15,00 13,00 12,00 2020 0,10 9,00 8,00 11,00 10,00 9,00 2021 0,20 12,00 12,00 11,00 13,00...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT