Security Returns if State Occurs State of Economy Bust Boom Probability of State of Economy Roll...
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Security Returns if State Occurs State of Economy Bust Boom Probability of State of Economy Roll 0.60 0.40 -11% Ross 19% 26 6 Calculate the expected returns for Roll and Ross by filling in the following table: (A negative value should be indicated by a minus sign. Do not round intermediate calculations. Calculate the product using the decimal value of the probability and the percentage value of the return. Input all your answers as a percent rounded to 2 decimal places.) Roll Ross State of Economy Probability of State of Return if State Occurs Product Return if State Occurs Product Economy Bust Boom 0.60 (11) % % 19 % % 0.40 26 % 6% % E(R)= 3.80 % E(R)=s 13.80 % Security Returns if State Occurs State of Economy Bust Boom Probability of State of Economy Roll 0.60 0.40 -11% Ross 19% 26 6 Calculate the expected returns for Roll and Ross by filling in the following table: (A negative value should be indicated by a minus sign. Do not round intermediate calculations. Calculate the product using the decimal value of the probability and the percentage value of the return. Input all your answers as a percent rounded to 2 decimal places.) Roll Ross State of Economy Probability of State of Return if State Occurs Product Return if State Occurs Product Economy Bust Boom 0.60 (11) % % 19 % % 0.40 26 % 6% % E(R)= 3.80 % E(R)=s 13.80 %
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Related Book For
Fundamentals of Investments, Valuation and Management
ISBN: 978-1259720697
8th edition
Authors: Bradford Jordan, Thomas Miller, Steve Dolvin
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