The shares of Misheak, Inc., are expected to generate the following possible returns over the next 12

Question:

The shares of Misheak, Inc., are expected to generate the following possible returns over the next 12 months:
Return (%) Probability
–5 ....... .10
5 ....... .25
10 ....... .30
15 ....... .25
25 ........ .10

If the stock is currently trading at $25 per share, what is the expected price in one year? Assume that the stock pays no dividends.

eBay, Inc., went public in September of 1998. The following information on shares outstanding was listed in the final prospectus filed with the SEC.
In the IPO, eBay issued 3,500,000 new shares. The initial price to the public was $18.00 per share. The final first day closing price was $44.88.