Compute the mean return, variance, and standard deviation of returns, and the coefficient variation of Stock Y based on the returns of the 5-year period below: Year Stock Q Year Stock Z 2016 2.60% 2016 0.60% 2017 -1.50% 2017 2.50% 2018 4.20% 2018 -1.20% 2019 3.60% 2019 3.60% 2020 0.50% 2020 0.90% 1. Based on your computation, which stock are you going to choose if you have the money to invest? 2. Why did choose it?

International Financial Management
14th Edition
ISBN:9780357130698
Author:Madura
Publisher:Madura
Chapter13: Direct Foreign Investment
Section: Chapter Questions
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Compute the mean return, variance, and standard deviation of returns, and the coefficient variation of
Stock y based on the returns of the 5-year period below:
Stock Q
Year
Stock Z
Year
2016 2.60%
2016
0.60%
2017 -1.50%
2017
2.50%
2018 4.20%
2018 -1.20%
2019 3.60%
2019 3.60%
2020 0.50%
2020
0.90%
1. Based on your computation, which stock are you going to choose if you have the money to
invest?
2. Why did choose it?
Transcribed Image Text:Compute the mean return, variance, and standard deviation of returns, and the coefficient variation of Stock y based on the returns of the 5-year period below: Stock Q Year Stock Z Year 2016 2.60% 2016 0.60% 2017 -1.50% 2017 2.50% 2018 4.20% 2018 -1.20% 2019 3.60% 2019 3.60% 2020 0.50% 2020 0.90% 1. Based on your computation, which stock are you going to choose if you have the money to invest? 2. Why did choose it?
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