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    Compute the portfolio's expected return and standard deviation.

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    1. Consider the following information

    1998 1999 2000 2001 2002*
    Year end
    Stock Price 15.15 17.10 21.00 20.05 11.05

    Year end
    Dividend 0.15 0.15 0.18 0.18 0.10

    * In 2002, there was a 2 for 1 stock split

    a. Compute the returns for each of the final four years, the holding period return, and the annualized return.
    b. Compute the standard deviation of returns.

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    1. Consider the following information

    1998 1999 2000 2001 2002*
    Year end
    Stock Price 15.15 17.10 21.00 20.05 11.05

    Year end
    Dividend 0.15 0.15 0.18 0.18 0.10

    * In ...

    Solution Summary

    The expert computes the portfolio's expected return and standard deviation. The stock price for year end calculations are given.

    $2.49

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