Question: True False o 0 11. Probabilities range from -100% to 100%. o O 12. When two states of the economy have probabilities of 50% and

 True False o 0 11. Probabilities range from -100% to 100%.

True False o 0 11. Probabilities range from -100% to 100%. o O 12. When two states of the economy have probabilities of 50% and their possible returns are 8% and -10%, the expected return 40%. 15. The APR for the stock in #14 > 15%. o 0 0 O 16. The EAR for the stock in #14 > 10%. O o 0 o 17. The average of 10%, 20%, -10% and 0% is less than 6%. 18. The standard deviation of the returns in #17 20%. 0 O O

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