Homework answers / question archive / You are given the following information concerning a stock and the market:     Year      Market Stock 2014                     18          %                          30          % 2015                     14                                        14           2016                     20                                        4              2017                     −8                                        −17         2018                     35                                        16           2019                     15                                        22             a

You are given the following information concerning a stock and the market:     Year      Market Stock 2014                     18          %                          30          % 2015                     14                                        14           2016                     20                                        4              2017                     −8                                        −17         2018                     35                                        16           2019                     15                                        22             a

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You are given the following information concerning a stock and the market:

 

 

Year      Market Stock

2014                     18          %                          30          %

2015                     14                                        14          

2016                     20                                        4             

2017                     −8                                        −17        

2018                     35                                        16          

2019                     15                                        22      

 

 

 

a.

 

Calculate the average return and standard deviation for the market and the stock. (Use Excel to complete the problem. Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)

 

 

b.

 

 Calculate the correlation between the stock and the market, as well as the stock's beta. (Use Excel to complete the problem. Do not round intermediate calculations. Round your correlation answer to 2 decimal places and beta answer to 4 decimal places.)