Use Bartman Industries’ and Reynolds Incorporated’s stock prices and dividends, along with the Market Index, shown below for the period 1997-2002 to answer the following questions Bartman Industries Reynolds Incorporated
Use Bartman Industries’ and Reynolds Incorporated’s stock prices and dividends, along with the Market Index, shown below for the period 1997-2002 to answer the following questions
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Bartman Industries |
Reynolds Incorporated |
|
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Year |
Stock Price |
Div |
Stock Price |
Div |
Market Returns |
2002 |
$17.250 |
$1.150 |
$48.750 |
$3.000 |
11,663.98 |
2001 |
14.750 |
1.060 |
52.300 |
2.900 |
8,785.70 |
2000 |
16.500 |
1.000 |
48.750 |
2.750 |
8,676.98 |
1999 |
10.750 |
0.950 |
57.250 |
2.500 |
6,434.03 |
1998 |
11.375 |
0.900 |
60.000 |
2.250 |
5,602.28 |
1997 |
7.625 |
0.850 |
55.750 |
2.000 |
4,705.97 |
Required:
1. Use the data given to calculate annual returns for Bartman, Reynolds, and the Market Index, and then calculate average returns over the 5-year period. (Hint: Remember, returns are calculated by subtracting the beginning price from the ending price to get the
2. Calculate the standard deviations of the returns for Bartman, Reynolds, and the Market Index.
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