Problem:
A stock had returns of 8 percent, -4 percent, 2 percent, and 14 percent over the past four years.
Required:
Question: What is the standard deviation of these returns?
- 8.1 percent
- 6.8 percent
- 7.3 percent
- 6.5 percent
- 7.7 percent
Note: Explain the solution in detail.