You’ve observed the following returns on Crash-n-Burn Computer’s stock over the past five years: 3 percent, -8 percent, 25 percent, 17 percent, and 15 percent.
1. What was the arithmetic average return on Crash-n-Burn’s stock over this five year period?
2. (a) What was the variance of Crash-n-Burn’s returns over this period? (Do not round intermediate calculations.)
(b) What was the standard deviation of Crash-n-Burn’s returns over this period? (Do not round intermediate calculations.)