XXX company has forecast a rate of return of 20% if the economy booms (30% probability); a
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Question:
XXX company has forecast a rate of return of 20% if the economy booms (30% probability);
a rate of return of 19% if the economy in in a growth phase (40% probability);
a rate of return of 2.50% if the economy in in decline (20% probability); and
a rate of return of -10% if the economy in a depression (10% probability).
What is the company standard deviation of returns?
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
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