A stock's return has the following distribution Compute the following 1. Stock's expected return, 2. Standard deviation,
Question:
A stock's return has the following distribution
Compute the following
1. Stock's expected return,
2. Standard deviation,
3. Coefficient ofvariation.
Transcribed Image Text:
Demand for the Probability of Occurring Rate of Return Company's Products This Demand if This Demand Occurs Weak Below Average Average Above average Strong 0.1 0.2 0.4 0.2 0.1 -50% -5 16 25 60
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (14 reviews)
Calculate the stocks expected return Demand product Probability Pi ri Pi ri Weak ...View the full answer
Answered By
Muhammad Salman Alvi
Well, I am a student of Electrical Engineeing from Information Technology University of Punjab. Just getting into my final year. I have always been good at doing Mathematics, Physics, hardware and technical subjects. Teaching profession requires a alot of responsibilities and challenges.
My teaching experience started as an home tutor a year ago. When I started teaching mathematics and physic subjects to an O Level student. He was about 14 years old. His name was Ibrahim and I used to teach him for about 2 hours daily. Teaching him required a lot of patience but I had to be polite with him. I used to give him a 5 min break after 1 hour session. He was quite weak in basic maths and calculation. He used to do quite a lot of mistakes in his homework which I gave him weekly. So I decided to teach him basics from scratch. He used to say that he got the concept even if he didn't. So I had to ask him again and again. I worked on his basics for a month and after that I started taking a weekly test sesions. After few months he started to improve gradually. Now after teaching him for about a year I can proudly say that he has improved alot. The most important thing was he managed to communicate all the difficullties he was facing. He was quite capable and patient. I had a sincere desire to help him reach to its full potential. So I managed to do that. We had a very good honest relationship of a student and a teacher. I loved teaching him as a tutor. Now having an experience of one year teaching I can read students quite well. I look forward to work as an online tutor who could help students in solving their all sort of difficulties, problems and queries.
4.90+
29+ Reviews
43+ Question Solved
Related Book For
Financial Management Theory And Practice
ISBN: 978-0176583057
3rd Canadian Edition
Authors: Eugene Brigham, Michael Ehrhardt, Jerome Gessaroli, Richard Nason
Question Posted:
Students also viewed these Finance questions
-
A stock's return has the following distribution: Calculate the stock's expected return and standard deviation Rate of Return Ifthis Demand Occurs (90) 50% -5 16 25 60 Probability of this Demand...
-
A stock's return has the following distribution: Calculate the stock's expected return, standard deviation, and coefficient of variation. Probability of This Demand Occurring Rate of Return if This...
-
Stock A has an expected return of 12% and a standard deviation of 40%. Stock B has an expected of 18% and a standard deviation of 60%. The correlation coefficient between Stocks A and B is 0.2. What...
-
A fast-food restaurant operates both a drive through facility and a walk-in facility. On a randomly selected day, let X and Y, respectively, be the proportions of the time that the drive-through and...
-
The following information relates to Brown Shoe Company and its 90 percent-owned subsidiary, Shoes.com, for 2013 (in thousands). Brown Shoe Company's net income from its own operations$50,000...
-
If manufacturing overhead has been underallocated during the period, and most of the jobs produced have been sold, then O A. finished goods inventory should be increased. OB. Cost of Goods Sold on...
-
TIE AND ROIC RATIOS The H.R. Pickett Corp. has $500,000 of interest-bearing debt outstanding, and it pays an annual interest rate of 10%. In addition, it has $700,000 of common stock on its balance...
-
Down Home Jeans Co. has an annual plant capacity of 65,000 units, and current production is 45,000 units. Monthly fixed costs are $40,000, and variable costs are $22 per unit. The present selling...
-
BonJoy Co. applies variable overhead on the basis of direct labor hours. For the month of June, the variable overhead efficiency variance is unfavorable but the variable overhead rate variance is...
-
Using, Exhibit 13-12, the balance sheet of Angelinas Jewelry Company at the end of July shown below, calculate all four financial ratios (quick, current, debt, and debt-to-equity) for the business....
-
Use the following scenario to answer the next 3 questions. A volunteer ambulance service handles 0 to 5 service calls on any given day. The probability distribution for the number of service calls is...
-
Your boss provides you with the following specifications for a new machine that she heard about at a trade show, which would reduce operating costs in your department each year. She has asked for...
-
Refer to the Hungry Dawg Restaurant example presented in this chapter. Health claim costs actually tend to be seasonal, with higher levels of claims occurring during the summer months (when kids are...
-
If f ( x ) = - 6 x ^ 2 sin ( 3 x ) + 4 x cos ( 3 x ) what if f ' ( x ) ?
-
What is deformation?
-
What is a switched capacitor circuit?How do we design a switched capacitor circuit?
-
What is meant by wavelet fault diagnosis of an induction motor?
-
How do we design an electromagnetic relay?
-
Share Repurchases} Refer to the information in Exercise 10-28 Required: What is the appropriate journal entry to record the transaction? \section*{Cornerstone Exercise
-
Integration is a vital concept when applied in one?s life. Integrating your life means making ideal choices. Perfect choices on the other go in line with quality decisions. Quality decisions lead to...
-
What is a sinking fund covenant? Sinking funds have both positive and negative characteristics for bondholders. Why?
-
(Analysis of Alternatives) Sally Brown died, leaving to her husband Linus an insurance policy contract that provides that the beneficiary (Linus) can choose any one of the following four options. (a)...
-
(Time Value Concepts Applied to Solve Business Problems) Answer the following questions related to Mark Grace Inc. (a) Mark Grace Inc. has $572,000 to invest. The company is trying to decide between...
-
(Analysis of Alternatives) Homer Simpson Inc., a manufacturer of steel school lockers, plans to purchase a new punch press for use in its manufacturing process. After contacting the appropriate...
-
All of the following are included on Form 1040, page 1, EXCEPT: The determination of filing status. The Presidential Election Campaign check box. The income section. The paid preparer signature line.
-
Question One: (25 marks) (X) Inc. purchased 80% of the outstanding voting shares of (Y) for $360,000 on July 1, 2017. On that date, (Y) had common shares and retained earnings worth $180,000 and...
-
Regarding Enron, this was a company that resulted in the creation of the Sarbanes-Oxley Act and many reforms to the accounting profession. Research the company and answer the following...
Study smarter with the SolutionInn App