Question: P 8 1 1 Integrative: Expected return, standard deviation, and coefficient of variation Three assets F , G , and H are currently under consideration

P811 Integrative: Expected return, standard deviation, and coefficient of variation Three assetsF, G, and Hare currently under consideration by Perth Industries. The probability distributions of expected returns for these assets are shown in the following table. Asset F Asset G Asset H j Prj Return, rj Prj Return, rj Prj Return, rj 10.1040%0.4035%0.1040%20.20100.30100.202030.4000.30-200.401040.20-50.20050.10-100.10-20 a. Calculate the average return, r, for each of the three assets. Which provides the largest average return? b. Calculate the standard deviation, sr, for each assets returns. Which appears to have the greatest risk? c. Calculate the coefficient of variation, CV, for each assets returns. Which appears to have the greatest relative risk?

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