1. You have heard about the great returns that some private equity funds generate and...

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1. You have heard about the great returns that some private equity funds generate and have decided to evaluate BlackRock, Inc. (BLK) and KKR & Co. Inc. (KKR). To facilitate your analysis, you use the historical data tool available at Yahoo! Finance to download the most recent thirteen months of adjusted closing prices (adjusted for dividends and stock splits) for both private equity firms shown in the following table: Month BLK KKR Stock Price Stock Price May-20 $400 $14 Apr-20 $501.21 $25.76 Mar-20 $436.24 $22.91 Feb-20 $458.12 $28.15 Jan-20 $523.21 $32.03 Dec-19 $200 $29.14 Nov-19 $486.66 $20 Oct-19 $455.29 $29.75 Sep-19 $434.51 $26.46 Aug-19 $412.52 $25.07 Jul-19 $456.62 $26.01 Jun-19 $455.68 $24.16 May-19 $100 $16 a. b. c. d. Calculate the monthly rate of return for each stock. Calculate the average monthly return for each stock. Calculate the standard deviation of monthly returns for each stock. Plot the monthly rate of returns across time using a time series plot (label your graph properly)

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