Question: Expected Return: Discrete Distribution A stock's return has the following distribution: Demand for the Probability of this Company's Products Demand Occurring Weak 0.1 Below average
Expected Return: Discrete Distribution A stock's return has the following distribution: Demand for the Probability of this Company's Products Demand Occurring Weak 0.1 Below average Average 0.4 Above average 0.2 Strong Rate of Return if This Demand Occurs (%) -30% 0.2 30 Calculate the stock's expected return and standard deviation. Do not round intermediate calculations. Round your answers to two decimal places. Expected return: Standard deviation
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
