Compute the arithmetic mean and standard deviation


Problem

During the past five years, you owned two stocks that had the following annual rates of return

Year   Stock ALPHA    Stock BETA
1              0.19               0.08
2              0.08               0.03
3              -0.12              -0.09
4              -0.03              0.02
5              0.15               0.04

Compute the arithmetic mean and standard deviation of annual rate of return from stock. For each stock, indicate which one is more desirable by this measure.

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Accounting Basics: Compute the arithmetic mean and standard deviation
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