Answered

Welcome to Westonci.ca, where finding answers to your questions is made simple by our community of experts. Our platform provides a seamless experience for finding precise answers from a network of experienced professionals. Join our Q&A platform to connect with experts dedicated to providing accurate answers to your questions in various fields.

Florida Company (FC) and Minnesota Company (MC) are both service companies. Their stock returns for the past three years were as follows: FC: −5 percent, 15 percent, 20 percent; MC: 8 percent, 8 percent, 20 percent. Calculate the mean return for each company.

Sagot :

Using the mean concept, it is found that:

  • The mean return for Florida Company is 10%.
  • The mean return for Minnesota Company is 12%.

The mean of a data-set is given by the sum of all observations divided by the number of observations.

For Florida Company(FC):

  • 3 returns, of -5%, 15% and 20%.

Thus, the mean is:

[tex]M = \frac{-5 + 15 + 20}{3} = \frac{30}{3} = 10[/tex]

The mean return for Florida Company is 10%.

For Minnesota Company(MC):

  • 3 returns, of 8%, 8% and 20%.

Thus, the mean is:

[tex]M = \frac{8 + 8 + 20}{3} = \frac{36}{3} = 12[/tex]

The mean return for Minnesota Company is 12%.

A similar problem is given at https://brainly.com/question/13451786

Thanks for using our service. We're always here to provide accurate and up-to-date answers to all your queries. Thank you for your visit. We're dedicated to helping you find the information you need, whenever you need it. Westonci.ca is your go-to source for reliable answers. Return soon for more expert insights.