The table below shows information about the performance of stocks A and B last year.   Return Standard Deviation Stock A 15 % 8.3% Stock B 14% 2.1%   What reasons will you convey to your client to justify your decision in recommending this stock? How will this recommendation impact the client?

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Q: What are the arithmetic and geometric average returns for a stock with annual returns of 15 percent,…

A: Arithmetic mean = sum of all return/ n Where n = 4 Geometric mean =…

Q: The table below presents the returns on stocks ABC and XYZ for a five-year period.   Year ABC XYZ…

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A: Average is the sum of all stock returns divided by number of return. given, average =13.2% Let the…

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A: Average return on a stock over a given number of years is the mean of yearly returns. That is,…

Q: 1. You are given the following information regarding prices for a sample of stocks. PRICE Stock…

A: Hi, as per our policy we will answer the first 3 sub-parts. Please repost the remaining parts…

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Q: A stock has had returns of 25 percent, 12 percent, 6 percent, –17 percent, -6 percent, and 22…

A: Arithmetic Return: It is the total return of the stock that is divided by total number of years. It…

Q: A stock has had returns of 6 percent, 24 percent, 16 percent, -12 percent, 31 percent, and -6…

A: Arithmetic average return=Total returnsNo. of years…

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A: The formula to calculate mean value is given below:

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A: The risk index shows the result of risk assessment or risk inherent in the investment in particular…

Q: 1.You are given the following information regarding prices for a sample of stocks. PRICE STOCK…

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Q: The table below shows information about the performance of stocks A and B last year.   Return…

A: Given Information:

Q: The table given below reports last five years data on rates of return on two stocks. Calculate and…

A: Arithmetic mean = sum of returns

Q: Year Stock A return Stock B return 2004 (24.25%) 5.5% 2005 18.5% 26.73% 2006 38.67%…

A: Average rate of return for each stock - = Sum of all year's return/5 Year Stock A return…

Q: Here are forecasts for next year for two stocks:     Stock A Stock B Return on equity   18 %…

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Q: A stock has had returns of −19 percent, 29 percent, 24 percent, −10.1 percent, 34.8 percent, and 27…

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Q: A stock has had returns of 14 percent, 32 percent, 15 percent, −20 percent, 32 percent, and −7…

A: Calculate the arithmetic average returns as follows:

Q: You have developed data which give (1) the average annual returns of the market for the past five…

A: Computation of Historical Beta for Stock A and Stock B:For the computation of Historical Beta, it is…

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A: Given: To compute: The Beta of both stocks using market returns

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A: Arithmetic and Geometric returns are two measures to estimate the annual return from investment…

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A: Beta of stock indicates how much stock will move if market is moving.Positive beta indicates that…

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A: Portfolio return refers to the return generated by a portfolio containing various financial…

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A: One of the statistical measures used to determine the average of data is the mean. It may be…

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A: Coefficient of variation = Standard deviation / Expected return

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A: Formula for the expected return: Probability*expected return of stock Formula for coefficient of…

Q: A stock has had the following year-end prices and dividends: Year Price Dividend $ 43.31 48.29 1 2…

A: Arithmetic average is a statistical measure that is used to establish a standard for comparison and…

Q: You find a certain stock that had returns of 10 percent, −17 percent, 23 percent, and 15 percent for…

A: Given: Returns = 10%, -17%, 23%, 15% Average return = 10%

Q: The historical returns data for the past three years for Company A's stock is -6.0%, 15%,  15% and…

A: Security market line: A security market line is the graphical representation of capital asset…

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A: Note: Data considered as sample.  In case of sample size, for calculating standard deviation, one…

Q: The table given below reports last five years data on annual rates of return (HPYS) on two stocks…

A: Athematic mean is average of returns

Q: How do i start this question? Ford stock produced the following monthly returns (January - May): 1%,…

A: Calculate the average return as follows: Average return = Sum of returns/Number of months Average…

Q: The table given below reports last five years data on annual rates of return (HPYS) on two stocks…

A: Coefficient of variation = Standard Deviation / Mean

Q: A stock has had returns of 12 percent, 30 percent, 17 percent, -18 percent, 30 percent, and -7…

A: Year Return 1 12% 2 30% 3 17% 4 -18% 5 30% 6 -7% To Find:- Arithmetic average return…

Q: A stock has had the following year-end prices and dividends:  Year   Price  Dividend 0   $…

A: Calculation of Arithmetic and Geometric Average Return:The arithmetic average return is 9.57% and…

Q: The table given below reports last five years data on annual rates of return (HPYS) on two stocks…

A: Standard deviation is measure of risk stocks with less deviation is preferred

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Q: You have observed the following returns over time: Stock X Stock Y Year Price Div Price Div Market…

A: Hi thanks for the question. Question has multiple sub parts. As per company guidelines expert should…

Q: Stocks A and B have the following historical returns:   a. Calculate the average rate of return for…

A: Answer a:

Q: Assume the returns of a stock for the previous five years are as follows: 8%, 12%, - 4%, 9% and 14%.…

A: The question is based on the concept of Stock valuation. As per Bartleby guidelines we are allowed…

Q: You find a certain stock that had returns of 14 percent, -21 percent, 22 percent, and 11 percent for…

A: Missing Return =(Average Return * 5) - (Total returns in 4 years)