Question: A stock has these possible returns in the next week: -10% (probablity: 50%), 0% (probablity: 15%), 5% (probability: 15%) , 10% (probablity: 20%). The risk-free

A stock has these possible returns in the next week: -10% (probablity: 50%), 0% (probablity: 15%), 5% (probability: 15%) , 10% (probablity: 20%). The risk-free rate is 3%. What is the expected excess rate of return?

Please use excel.

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