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1. Problem 8.01 (Expected Return) eBook Problem Walk-Through A stock's returns have the following distribution: Demand for the Company's Products Weak Probability of this Demand

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1. Problem 8.01 (Expected Return) eBook Problem Walk-Through A stock's returns have the following distribution: Demand for the Company's Products Weak Probability of this Demand Occurring 0.1 Rate of Return If This Demand Occurs (46%) (11) 13 Below average Average Above average 0.1 0.4 0.3 21 Strong 0.1 65 1.0 Assume the risk-free rate is 2%. Calculate the stock's expected return, standard deviation, coefficient of variation, and Sharpe ratio. Do not round intermediate calculations. Round your answers to two decimal places. Stock's expected return: % Standard deviation: % Coefficient of variation: Sharpe ratio

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