You've observed the following returns on Pine Computer's stock over the past five years: 10 percent, -10 percent, 17 percent, 22 percent, and 10 percent. a. What was the arithmetic average return on the company's stock over this five-year period? (Do not round intermediate calculations and enter your answer as a percent rounded to 1 decimal place, e.g., 32.1.) b-1. What was the variance of the company's returns over this period? (Do not round intermediate calculations and round your answer to 5 decimal places, e.g., 16161.) b-2. What was the standard deviation of the company's returns over this period? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) a. Average return b-1. Variance b-2. Standard deviation % %

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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You've observed the following returns on Pine Computer's stock over the past five years:
10 percent, -10 percent, 17 percent, 22 percent, and 10 percent.
a. What was the arithmetic average return on the company's stock over this five-year
period? (Do not round intermediate calculations and enter your answer as a
percent rounded to 1 decimal place, e.g., 32.1.)
b-1. What was the variance of the company's returns over this period? (Do not round
intermediate calculations and round your answer to 5 decimal places, e.g.,
16161.)
b-2. What was the standard deviation of the company's returns over this period? (Do not
round intermediate calculations and enter your answer as a percent rounded to 2
decimal places, e.g., 32.16.)
a. Average return
b-1. Variance
b-2. Standard deviation
%
%
Transcribed Image Text:You've observed the following returns on Pine Computer's stock over the past five years: 10 percent, -10 percent, 17 percent, 22 percent, and 10 percent. a. What was the arithmetic average return on the company's stock over this five-year period? (Do not round intermediate calculations and enter your answer as a percent rounded to 1 decimal place, e.g., 32.1.) b-1. What was the variance of the company's returns over this period? (Do not round intermediate calculations and round your answer to 5 decimal places, e.g., 16161.) b-2. What was the standard deviation of the company's returns over this period? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) a. Average return b-1. Variance b-2. Standard deviation % %
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