Calculating returns, variances, standard deviations for X and Y
Using the following returns, calculate the average returns, the variances, and the standard deviations for X and Y.
See attached spreadsheet for the data.
Prob #7
RETURNS
Year X Y
1 10% 26%
2 18 -4
3 -8 -10
4 12 42
5 6 21
https://brainmass.com/business/accounting/calculating-returns-variances-standard-deviations-for-x-and-y-3036
Attachments
Solution Preview
Please refer to attached.
RETURNS
Year X Y
1 10% 26%
2 18 -4
3 -8 -10
4 12 42
5 6 21
Step 1
Work out average return for each stock, from Year 1 to Year 5.
Average (RX) = (10 + 18 - 8 + 12 + 6) / 5
= 7.6%
Average ...
Solution Summary
The solution shows the formulas and the calculations to solve the questions in the problem.
$2.19