4 2d The stocks on ABC Company and XYZ Company have the following returns over the last five years. Year ABC returns XYZ returns 1 –0.2 0.2 2 –0.1 0.1 3 0.5 –0.1 4 0.3 0.05 5 0.1 0.08 d. Calculate the variance and standard deviation on the returns on XYZ.

4 2d The stocks on ABC Company and XYZ Company have the following returns over the last five years. Year ABC returns XYZ returns 1 –0.2 0.2 2 –0.1 0.1 3 0.5 –0.1 4 0.3 0.05 5 0.1 0.08 d. Calculate the variance and standard deviation on the returns on XYZ.

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter8: Risk And Rates Of Return

Section: Chapter Questions

Problem 17PROB

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Question

A4 2d

The stocks on ABC Company and XYZ Company have the following returns over the last five years.

Year	ABC returns	XYZ returns
1	–0.2	0.2
2	–0.1	0.1
3	0.5	–0.1
4	0.3	0.05
5	0.1	0.08

d. Calculate the variance and standard deviation on the returns on XYZ.

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