Question: 1. Problem 8.01 (Expected Return) eBook Problem Walk-Through A stock's returns have the following distribution: Demand for the Probability of this Rate of Return if

 1. Problem 8.01 (Expected Return) eBook Problem Walk-Through A stock's returns

1. Problem 8.01 (Expected Return) eBook Problem Walk-Through A stock's returns have the following distribution: Demand for the Probability of this Rate of Return if Company's Products Demand Occurring this Demand Occurs Weak 0.1 (34%) Below average 0.2 (11) Average 0.3 16 Above average 0.3 35 Strong 0.1 53 1.0 Assume the risk-free rate is 3%. Calculate the stock's expected return, standard deviation, coefficient of variation, and Sharpe ratio. Do not round intermediate calculations. Round your answers to two decimal places. Stock's expected return: % Standard deviation: % Coefficient of variation: Sharpe ratio

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