15. Carson Inc.s manager believes that economic conditions during the next year will

be strong, normal, or weak, and she thinks that the firms returns will have the

probability distribution shown below. Whats the coefficient of variation on the

firms returns?

Economic Probability Stocks

Conditions of States Return

Strong 30% 32.0%

Normal 40% 10.0%

Weak 30% -16.0%

a. 1.6

b. 2.1

c. 2.6

d. 2.9

e. 3.3