Calculating Returns and Variability Using the following returns, calculate the arithmetic average returns, the variances, and the standard deviations for X and Y:                                                                                                 Returns                 Year                                                       X                             Y                 1                                                              12%                        14%                 2                                                              24                           29                 3                                                              -27                          -33                 4                                                              14                           17                 5                                                              19                           37

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter12: Capital Structure
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10.7        Calculating Returns and Variability Using the following returns, calculate the arithmetic average returns, the variances, and the standard deviations for X and Y:

                                                                                                Returns

                Year                                                       X                             Y

                1                                                              12%                        14%

                2                                                              24                           29

                3                                                              -27                          -33

                4                                                              14                           17

                5                                                              19                           37

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Using excel standard deviation and variance function

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