Consider the following table for a period of six years: Year 1225528 3 4 6 Returns Large-Company Stocks. -15.49% -26.71 37.39 24.09 -7.48 6.73 U.S. Treasury Bills 7.45% 8.07 6.03 5.87 5.53 7.88 a-1. Calculate the arithmetic average returns for large-company stocks and T-bills over this time period. Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16. a-2. Calculate the standard deviation of the returns for large-company stocks and T-bills over this time period. Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.
Consider the following table for a period of six years: Year 1225528 3 4 6 Returns Large-Company Stocks. -15.49% -26.71 37.39 24.09 -7.48 6.73 U.S. Treasury Bills 7.45% 8.07 6.03 5.87 5.53 7.88 a-1. Calculate the arithmetic average returns for large-company stocks and T-bills over this time period. Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16. a-2. Calculate the standard deviation of the returns for large-company stocks and T-bills over this time period. Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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![Consider the following table for a period of six years:
Returns.
Year Large-Company Stocks
123456
-15.49%
-26.71
37.39
24.09
-7.48
6.73
U.S. Treasury
Bills
7.45%
8.07
6.03
5.87
5.53
7.88
a-1. Calculate the arithmetic average returns for large-company stocks and T-bills over this time period.
Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g.,
32.16.
a-2. Calculate the standard deviation of the returns for large-company stocks and T-bills over this time period.
Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g.,
32.16.
a-1. Arithmetic average return
a-2. Standard deviation
Large-company
stocks
%
%
T-bills
%
%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F039d2981-3d56-43b7-8c0f-f27fd510269d%2F781edb2e-f1ed-4867-a8de-45ce8634b496%2Fzzhwps_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Consider the following table for a period of six years:
Returns.
Year Large-Company Stocks
123456
-15.49%
-26.71
37.39
24.09
-7.48
6.73
U.S. Treasury
Bills
7.45%
8.07
6.03
5.87
5.53
7.88
a-1. Calculate the arithmetic average returns for large-company stocks and T-bills over this time period.
Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g.,
32.16.
a-2. Calculate the standard deviation of the returns for large-company stocks and T-bills over this time period.
Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g.,
32.16.
a-1. Arithmetic average return
a-2. Standard deviation
Large-company
stocks
%
%
T-bills
%
%
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