Rate of return, standard deviation, and coefficient of variation mike is searching for a stock to include in his current stock portfolio. he is interested in hi-tech, inc.; he has been impressed with the company’s computer products and believes that hi-tech is an innovative market player. however, mike realizes that any time you consider a technology stock, risk is a major concern. the rule he follows is to include only securities with a coefficient of variation of returns below 0.90. mike has obtained the following price information for the period 2012 through 2015. hi-tech stock, being growth-oriented, did not pay any dividends during these 4 years. stock price year beginning end 2012 $14.36 $21.55 2013 21.55 64.78 2014 64.78 72.38 2015 72.38 91.80 a. calculate the rate of return for each year, 2012 through 2015, for hi-tech stock. b. assume that each year’s return is equally probable, and calculate the average return over this time period. c. calculate the standard deviation of returns over the past 4 years. (hint: treat these data as a sample.) d. based on b and c, determine the coefficient of variation of returns for the security. e. given the calculation in d, what should be mike’s decision regarding the inclusion of hi-tech stock in his portfolio?

steering wheels are always situated on the left side of the car.

always drive on the right side of the road.

white lines separate lanes of traffic traveling the same direction.

hashed or broken lines means you may change lanes when it is safe.

solid white lines mean stay in your lane.

yellow lines separate traffic moving in opposing directions.

hashed or broken yellow lines mean you can carefully pass, paying attention to oncoming traffic.

never cross a solid yellow line (or double yellow line).

when turning left at an intersection, pass in front of any cars that are turning left from the opposing direction (do not try to pass behind them).

use the left lane to pass other cars traveling your direction.

do not pass in the right lane unless absolutely necessary.

if you are driving in the far left hand lane and someone would like to pass you, move over to the right lane when it is safe to do so and allow them to pass.

you must always yield to pedestrians.

come to a complete stop whenever you see pedestrians trying to cross the street.

never pass a school bus if it has flashing red lights. wait until the lights have stopped.

be aware of bicyclists. often they share the road with cars and are supposed to also follow general traffic laws.

be particularly careful about driving in cities with bike lanes -- always check before turning that a bike is not coming.

it is mandatory to pull over or stop at an intersection to allow an emergency vehicle to pass you if you see one traveling with lights flashing and/or a siren running.

do not overuse your car horn. horns are used almost exclusively for emergency situations or for when you feel unsafe.

explanation:

answerchemical property;