Question: 1. Given the following probability distribution, calculate the expected return. (express answer as a percentage) Probability Outcome 30% ---------- 0% 40% ---------- 10% 30% ----------

1. Given the following probability distribution, calculate the expected return. (express answer as a percentage)

Probability Outcome

30% ---------- 0%

40% ---------- 10%

30% ---------- 30%

__________________

2. Given the following probability distribution, calculate the standard deviation.

Probability Outcome

40% ---------- (-5%)

40% ---------- 10%

20% ---------- 30%

A. 12.88%

B. 12.22%

C. 18.79%

D. 35.00%

3. Given the following probability distribution, calculate the expected return.

Probability Outcome

20% ---------- 5%

40% ---------- 10%

20% ---------- 15%

20% ---------- 20%

A. 18.75%

B. 12.00%

C. 12.50%

D. 50.25%

4. If the expected return is 6% and the standard deviation is 9%, then what is the coefficient of variation? (express answer to 1 decimal place)

__________________

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!