Referring to Exercise 43, the annual report of Dennis Industries also gave these returns on stockholder equity for the same five-year period (in percent) : 13.2, 5.0, 10.2, 17.5, and 12.9.

a. What is the arithmetic mean return?

b. What is the variance?

Question

Mathematics

Alondra Jenkins

20 June, 07:27

Referring to Exercise 43, the annual report of Dennis Industries also gave these returns on stockholder equity for the same five-year period (in percent) : 13.2, 5.0, 10.2, 17.5, and 12.9.

a. What is the arithmetic mean return?

b. What is the variance?

+1

Answers (1)

Know the Answer?

Reed Bailey · Answer 1

a. 11.76

b. 21.113

Step-by-step explanation:

x

13.2

5

10.2

17.5

12.9

a)

arithmetic mean=sumx/n

arithmetic mean = (13.2+5+10.2+17.5+12.9) / 5=58.8/5=11.76

Thus, the arithmetic mean return is 11.76.

b)

Variance=sum (x-xbar) ^2/n-1

x x-xbar (x-xbar) ^2

13.2 13.2-11.76=1.44 2.0736

5 5-11.76=-6.76 45.6976

10.2 10.2-11.76=-1.56 2.4336

17.5 17.5-11.76=5.74 32.9476

12.9 12.9-11.76=1.14 1.2996

sum (x-xbar) ^2=2.074+45.698+2.434+32.948+1.3=84.452

Variance=84.452/4=21.113

Thus, variance is 21.113.

Referring to Exercise 43, the annual report of Dennis Industries also gave these returns on stockholder equity for the same five-year period (in percent) : 13.2, 5.0, 10.2, 17.5, and 12.9.a. What is the arithmetic mean return?b. What is the variance?

Referring to Exercise 43, the annual report of Dennis Industries also gave these returns on stockholder equity for the same five-year period (in percent) : 13.2, 5.0, 10.2, 17.5, and 12.9.

a. What is the arithmetic mean return?

b. What is the variance?