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Given the data here, . a. Compute the average return for each of the assets from 1929 to 1940 (the Great Depression). b. Compute the variance and standard deviation for each of the assets from 1929 to 1940. c. Which asset was riskiest during the Great Depression? How does that fit with your intuition? Note: Notice that the answers for average return, variance and standard deviation must be entered in decimal format. a. Compute the average return for each of the assets from 1929 to 1940 (the Great Depression). The average return for the S&P 500 was (Round to five decimal places.) The average return for the small stocks was (Round to five decimal places.) The average return for the corporate bonds was (Round to five decimal places.) The average return for the world portfolio was (Round to five decimal places.) The average return for the Treasury bills was (Round to five decimal places.) The average for the CPI was (Round to five decimal places.) b. Compute the variance and standard deviation for each of the assets from 1929 to 1940. The standard deviation for the S&P 500 was (Round to four decimal places.) The standard deviation for the small stocks was (Round to four decimal places.) The standard deviation for the corporate bonds was (Round to four decimal places.) The standard deviation for the world portfolio was - (Round to four decimal places.) The standard deviation for the Treasury bills was (Round to four decimal places.) The standard deviation for the CPI was (Round to four decimal places.) c. Which asset was riskiest during the Great Depression? How does that fit with your intuition? (Select the best choice below.) A. The riskiest assets were the corporate bonds. Intuition tells us that company debt should be riskiest. B. The riskiest assets were the stocks in the S&P 500. Intuition tells us that large companies should be the riskiest. C. The riskiest assets were the Treasury bills. Intuition tells us that government securities should be the riskiest. D. The riskiest assets were the small stocks. Intuition tells us that smaller companies should be riskiest. Yearly returns from 1929-1940 for the S&P 500, small stocks, corporate bonds, world portfolio, Treasury bills, and inflation (as measured by the CPI). Year S&P 500 Small Stocks Corp Bonds CPI Treasury Bills 0.04737 1929 -0.50467 0.04321 0.00746 -0.08907 -0.25257 World Portfolio -0.07692 -0.22574 -0.39305 1930 0.06343 0.02347 -0.06420 -0.09235 1931 -0.45583 -0.50216 0.08696 -0.02380 0.01023 -0.43858 -0.08861 0.52895 1932 0.12198 0.03030 -0.10465 0.00806 0.00293 1933 0.05255 0.00974 1.87200 0.25209 0.66449 0.02552 1934 0.09728 0.00155 0.01286 1935 0.64739 0.06860 0.22782 0.00165 0.03175 -0.02341 0.47208 0.32801 -0.35258 1936 0.87508 0.00175 0.00319 0.06220 0.02546 0.04357 0.01231 0.03040 1937 -0.53403 0.19283 -0.16950 0.05614 -0.01441 1938 0.33199 0.26275 0.00041 -0.02950 1939 -0.00910 0.04247 0.00000 0.00184 -0.12340 0.00008 0.00058 1940 -0.10082 0.04512 0.03528 0.00912 Given the data here, . a. Compute the average return for each of the assets from 1929 to 1940 (the Great Depression). b. Compute the variance and standard deviation for each of the assets from 1929 to 1940. c. Which asset was riskiest during the Great Depression? How does that fit with your intuition? Note: Notice that the answers for average return, variance and standard deviation must be entered in decimal format. a. Compute the average return for each of the assets from 1929 to 1940 (the Great Depression). The average return for the S&P 500 was (Round to five decimal places.) The average return for the small stocks was (Round to five decimal places.) The average return for the corporate bonds was (Round to five decimal places.) The average return for the world portfolio was (Round to five decimal places.) The average return for the Treasury bills was (Round to five decimal places.) The average for the CPI was (Round to five decimal places.) b. Compute the variance and standard deviation for each of the assets from 1929 to 1940. The standard deviation for the S&P 500 was (Round to four decimal places.) The standard deviation for the small stocks was (Round to four decimal places.) The standard deviation for the corporate bonds was (Round to four decimal places.) The standard deviation for the world portfolio was - (Round to four decimal places.) The standard deviation for the Treasury bills was (Round to four decimal places.) The standard deviation for the CPI was (Round to four decimal places.) c. Which asset was riskiest during the Great Depression? How does that fit with your intuition? (Select the best choice below.) A. The riskiest assets were the corporate bonds. Intuition tells us that company debt should be riskiest. B. The riskiest assets were the stocks in the S&P 500. Intuition tells us that large companies should be the riskiest. C. The riskiest assets were the Treasury bills. Intuition tells us that government securities should be the riskiest. D. The riskiest assets were the small stocks. Intuition tells us that smaller companies should be riskiest. Yearly returns from 1929-1940 for the S&P 500, small stocks, corporate bonds, world portfolio, Treasury bills, and inflation (as measured by the CPI). Year S&P 500 Small Stocks Corp Bonds CPI Treasury Bills 0.04737 1929 -0.50467 0.04321 0.00746 -0.08907 -0.25257 World Portfolio -0.07692 -0.22574 -0.39305 1930 0.06343 0.02347 -0.06420 -0.09235 1931 -0.45583 -0.50216 0.08696 -0.02380 0.01023 -0.43858 -0.08861 0.52895 1932 0.12198 0.03030 -0.10465 0.00806 0.00293 1933 0.05255 0.00974 1.87200 0.25209 0.66449 0.02552 1934 0.09728 0.00155 0.01286 1935 0.64739 0.06860 0.22782 0.00165 0.03175 -0.02341 0.47208 0.32801 -0.35258 1936 0.87508 0.00175 0.00319 0.06220 0.02546 0.04357 0.01231 0.03040 1937 -0.53403 0.19283 -0.16950 0.05614 -0.01441 1938 0.33199 0.26275 0.00041 -0.02950 1939 -0.00910 0.04247 0.00000 0.00184 -0.12340 0.00008 0.00058 1940 -0.10082 0.04512 0.03528 0.00912

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