Problem:
The returns on XYZ Corp. over the last four years are 10%, 12%, 3%, and -9%.
a. What is the historical average return over the last four years? Average return of the last 4 years is 4%.
b. What is the variance of the returns over the last four years?
c. What is the standard deviation of the returns over the last four years?
Additional Information:
This question basically belongs to Finance and it discusses about calculating historical average return for a company, the variance in returns and the standard deviation of returns over the last four years. This has been calculated in the solution.