Question ID: 919 This question is worth 10 marks in total. This is a written calculation question, and you should perform the necessary calculations/working on paper to later be scanned and uploaded. Start a new page for this question. For dollar amounts, give your answer to the nearest cent. For interest rates, give our answer as a percentage rounded to 2 decimal places. If any parts of the question use values from earlier parts, use the EXACT Values from earlier parts. QUESTION START An investor buys 1 share of ABC Ltd at the price of $32 on December 31, 2018. The firm is not expected to pay any dividends. Consider the following three possible scenarios for the share price on December 31, 2020: $20 with a probability of 25%. $39 if the economy is "moderate", with a probability of 60% $45 if the economy is "bad", with a probability of 16% a) Calculate the expected return for holding the share for a year. (2 marka) b) Calculate the variance of return and standard deviation odreturn. (2 marks) c) on January 1, 2021, the share is worth $20.5 and the investor just received a dividend of $2.36. Calculate the total holding period return and dividend yield over the a) Give one example of a diversifiable risk, and one example of a systemic risk. Clearly label your examples. (2 marks) e) Consider the statement "The primary goal of diversification is to minimise risk". Is this true or false? Discuss. (2 marks) one-year period. (2 marks) QUESTION END You will need to scan this question and upload it to learn via the Final Exam submission link. Please disregard the box below for enter anything you want into it), it doesn't have any effect on your grac